Today, a large fraction of executives' pay is tied to:
A) the level of sales of their firm.
B) bonuses of other executives.
C) the effort and work ethic of the executive.
D) the stock price of their firm.

Question

Quizplus · Accepted Answer

The stock price of their firm. This is because tying executive pay to the performance of the company's stock price is seen as a way to align the interests of executives with those of shareholders, as a higher stock price generally signals success for the company.

Today, a Large Fraction of Executives' Pay Is Tied To