It was revealed in the press that the former CEO of a Fortune 100 firm enjoyed special use of the company plane and a country club membership as a part of his reward package. Which of the following best describes these benefits?
A) They are illegal, but executives usually get away without being caught.
B) They are known as perquisites.
C) They are known as golden parachutes.
D) They are unusual for top executives.

Question

Quizplus · Accepted Answer

These benefits are known as perquisites or "perks," which are extra benefits or privileges granted to executives on top of their regular salary and bonuses. They are not illegal or unusual; rather, they are common forms of compensation for high-level executives to enhance their overall compensation package. Golden parachutes refer to large payments or substantial benefits promised to company executives upon termination, usually in the context of a merger or takeover, not to ongoing benefits like plane use or club memberships.

It Was Revealed in the Press That the Former CEO