Which of the following terms describes an incentive contract that can be enforced by an outside third party such as a judge or an arbitrator?
A)Explicit incentive contract
B)Implicit incentive contract
C)Risk sharing contract
D)Compensation contract
E)Pay-for-performance

Question

Quizplus · Accepted Answer

An explicit incentive contract is a formal agreement with clearly defined terms and conditions that can be legally enforced by a third party, such as a judge or arbitrator.

Which of the Following Terms Describes an Incentive Contract That