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2 years ago

Identify and explain the components of management compensation and the tradeoffs that compensation designers make.

Business

1 answer:

Elena L [17]2 years ago

6 0

Incorrect/Incomplete question: Complete question read;

Which of the following statements correctly describes management compensation options?

A) Managers do not receive fixed salaries; instead their compensation is based on bonuses and incentives.

B) Perks (perquisites) were eliminated as part of the Sarbanes-Oxley Act.

C) Bonuses are typically awarded for meeting or achieving specific goals.

D) Stock options and awards are part of fixed salary compensation.

Answer:

C) Bonuses are typically awarded for meeting or achieving specific goals.

Explanation:

All the options above with the exception of option C rightly describes management compensation plans. Remember,  the term compensation includes both cash and non-cash payments an employee may receive for performing their duties well.

Hence, managers may award certain bonuses (eg 5% salary bonuses, etc) to their employees for working diligently to meet specific goals (like meeting a sales target, new customer acquisition targets, etc).

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Qualified dividends may be subject to a marginal tax rate of 23.8 percent (20 percent for the capital gain and 3.8 percent tax o

djverab [1.8K]

Answer:

True

Explanation:

Qualified dividends are ordinary dividend that enjoy special tax privilege by being taxed at lower rate. The rate is based on specific tax rate which range from 0% to 20% depending on the income threshold. Though these dividends are taxed based on this specific lower tax rate compare to income tax rate, they are also subjected to net investment income of 3.8% if they earn above certain threshold.

However for dividends to be qualified, it must meet the two requirements given by the Internal Revenue Service (IRS). The requirements are:

*The dividend must have been paid by an entity incorporated in the United States or a qualifying foreign entity.

* The stock must have been held within the minimum holding period specified by the tax law.

So the answer is true because qualified dividends may be subject to a marginal tax rate of 23.8% for taxpayers with income over a certain threshold as explained above.

5 0

3 years ago

Development of financial institutions

Lapatulllka [165]

a Development Financial institution (DFi) is defined as “an institution endorsed or supported by Government of india primarily to provide devel- opment/Project finance to one or more sectors or sub-sectors of the econ- omy. ... these DFis are also known as Development banks.

6 0

2 years ago

Jennifer's income is too high to qualify for the credit on Form 8880, Credit for Qualified Retirement Savings Contributions.A. T

a_sh-v [17]

Answer:

given statement is true

Explanation:

solution

the given statement is true because

by encouraging, people of the lower income is contributing to their retirement savings account.

and IRS offers a tax credit for contributions to them for claim the retirement savings credit

so Jennifer must use IRS form 8880

and credit percentage decreases as the as AGI increases

so we can say given statement is true

3 0

2 years ago

1. Which of the following accurately explains why scarcity forces individuals and society to incur opportunity costs? A. Because

lozanna [386]

Answer:

explanation of opportunity cost:

A. Because of scarcity, people must make choices, and each choice incurs a cost

exampes of opportunity cost:

A. The money spent on a movie ticket cannot buy a Blu-ray player

C. The time spent preparing for a test cannot be spent playing computer games

Explanation:

The opportunity cost refers to the return or ouput of the resource used in the best alternative decision.

That means, the wages we get fro ma certain job most be compared with the wages we could do in another to really check if we are making a gain or not with our job.

Same applies for capital and other factors.

4 0

3 years ago

Which department managers in a hotel would benefit from understanding a bit about financial management? What should they know? W

dolphi86 [110]

Department managers in a hotel would benefit from understanding a bit about financial management in the following way

Explanation:

Teamwork: Almost every job within the hospitality industry involves teamwork. ...
Multi-tasking: No day is the same within the hospitality industry. ...
Flexibility: ...
Attention to Detail: ...
Industry Awareness: ...
Time Management: ...
Communication: ...
Interpersonal Skills:

Financial management includes

Financial management requires forecasting various elements such as demand, inventory availability, market share, and total market.
Revenue management is an extremely important concept within the hospitality industry, because it allows hotel owners to anticipate demand and optimise availability and pricing, in order to achieve the best possible financial results.
Revenue Management is the application of analytics that predicts consumer behaviour at the micro-market level to optimise product availability and price to maximise revenue growth. The primary aim of a revenue management strategy is selling the right product to the right customer at the right time for the right price.

5 0

3 years ago