The recently appointed CEO of XYZ Inc.uses a luxury summerhouse owned by the company for rest and relaxation with his family as well as a place to invite important clients before a lucrative business deal.XYZ Inc.also provides a membership to an exclusive country club to its CEO.These kinds of benefits offered to CEOs are known as which of the following?

Question

Quizplus · Accepted Answer

The benefits provided to the CEO, such as the luxury summerhouse and membership to an exclusive country club, are known as perquisites or "perks". These are additional benefits beyond the CEO's salary and are often used as a way to attract top talent and retain key executives. Discretionary bonuses are typically performance-based and given at the discretion of the company, golden parachutes are severance packages offered to executives in the event of a change in ownership or control of the company, and clawback provisions are measures put in place to allow a company to recoup executive compensation in the event of misconduct or poor performance.

The Recently Appointed CEO of XYZ Inc