Many companies use ______ to align the interests of shareholders with those of management.

Question

Quizplus · Accepted Answer

Share options are commonly used by companies to incentivize management and align their interests with those of shareholders. By offering share options, management is given the opportunity to purchase company shares at a fixed price, which can lead to higher profits if the company performs well. This encourages management to make decisions that benefit the company and its shareholders. Bonds, debentures, and company cars are not typically used for this purpose.

Many Companies Use ______ to Align the Interests of Shareholders