Question

In: Accounting

Identify all of the correct statements: a. To motivate managers in non-profit firms, no employee incentives...

Identify all of the correct statements: a. To motivate managers in non-profit firms, no employee incentives are needed b. Managers naturally seek to maximize shareholders' wealth c. Managers act in their own interests, and so there is no way to align their interests with those of the owners d. To align the interests of managers and owners, owners must design systems to monitor and reward management behavior that increases the firm's profits e. None of the answers are correct

Solutions

Expert Solution


Related Solutions

1. Identify three characteristics of managers that motivate and increase employee engagement. 2. How would you...
1. Identify three characteristics of managers that motivate and increase employee engagement. 2. How would you recruit and select managers to join the organization with the assurance that they had these characteristics and a management philosophy that would inspire high levels of employee engagement and create an organizational climate for engagement?
Explain how to motivate managers with profit-sharing based on practical examples?
Explain how to motivate managers with profit-sharing based on practical examples?
1. Which of the following statements is correct with respect to economic incentives to release financial...
1. Which of the following statements is correct with respect to economic incentives to release financial information? Multiple Choice Owners and managers do not have an economic incentive to supply the amount and type of financial information because it has no effect on the company’s ability to raise capital at the lowest cost. Because financial disclosures are regulated, owners and managers have little economic incentive to supply the amount and type of financial information that will enable them to raise...
In forming a cartel: Select one: a. all firms will cooperate. b. there are no incentives...
In forming a cartel: Select one: a. all firms will cooperate. b. there are no incentives to cheat. c. there are no incentives to cooperate. d. there are incentives to cheat. In 2011, 11 modeling agencies in Singapore were found to have acted together in raising prices of modeling services. These firms acted as a: Select one: a. disunion. b. cartel. c. co-op. d. Bertrand monopoly. Cartels are: Select one: a. extremely powerful and able to keep prices and profits...
what are some of the things that all three firms offer to motivate new employees
what are some of the things that all three firms offer to motivate new employees
Agency Conflicts: Please select the correct choice within parenthesis. Firms must provide the right incentives if...
Agency Conflicts: Please select the correct choice within parenthesis. Firms must provide the right incentives if they are to get (shareholders, managers, creditors) to focus on long-run value maximization. Conflicts exist between managers and stockholders and between stockholders (represented by managers) and -(employees, debtholders, customers). Managers' personal goals may compete with shareholder wealth maximization. However, managers can be motivated to act in their stockholders' best interests through (1) reasonable -(vacation, compensation, perquisite) packages, (2) firing of underperforming managers, and (3)...
Which of the following statements is most correct? a. Cash flows and accounting profit are not...
Which of the following statements is most correct? a. Cash flows and accounting profit are not at all related since no common elements are used in the calculation of either individual measure. b. The debt ratio measures that portion of fixed assets which is supported by common equity. c. High inflation can seriously distort firms' balance sheets, and since inflation also affects depreciation and inventory costs, profits can also be affected. d. Financial statement analysis is important from the investor's...
Which of the following statements is correct? a. Conflicts can exist between stockholders and managers, but...
Which of the following statements is correct? a. Conflicts can exist between stockholders and managers, but potential conflicts are reduced by the possibility of hostile takeovers. b. Most business in the U.S. is conducted by corporations, and corporations’ popularity results primarily from their favorable tax treatment. c.The good goal for a firm’s management is the maximization of expected net income. d. corporation have an advantage over proprietorships because a sole proprietor is exposed to unlimited liability, but the liability of...
1.  Which of the following statements is correct? a. All the answers are correct. b. The NPV...
1.  Which of the following statements is correct? a. All the answers are correct. b. The NPV cannot be used effectively for projects with unconventional cash flows. c. The decision criterion for the accounting rate of return is consistent with the goal of shareholder wealth maximization. d. The NPV provides a direct (dollar) measure of how much a capital project will increase the value of the firm. e. The process of limiting, or rationing, capital expenditures among possible projects is called...
a. Identify which ofthe following statements are correct and which are not correct.Write a...
a. Identify which of the following statements are correct and which are not correct. Write a correct alternative statement for those which are not correct.I. it is more expensive to install fibre-optic cable because specialist training is necessaryii. routers are used to connect subnets on a LANiii. all traffic in a subnet passes through the default gatewayiv. a layer 3 switch provides routing using MAC addressesv. computers and/or other devices that are networked in a single physical location are said...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT