Managers on a fixed salary are subjected to following temptations all the time:
I. reduced effort
II. perks or private benefits
III. empire building
IV. entrenching investments
V. avoiding risks
A) I, II and V only
B) I, II, and IV only
C) I, II, III and IV only
D) I, II, III, IV and V

Question

Quizplus · Accepted Answer

Managers on a fixed salary may be tempted to engage in reduced effort to avoid extra stress and work. They may also be tempted to seek private benefits or perks, such as company cars or free travel. In addition, they may work on empire building to create a name for themselves and justify their positions. They may invest heavily in entrenching themselves within the organization to make it hard to replace them. Finally, they may avoid taking risks in order to maintain the status quo and ensure job security. Thus, all five temptations are possible for managers on a fixed salary, making option D the correct answer.

Managers on a Fixed Salary Are Subjected to Following Temptations