Various researchers have indicated that when managers receive bonuses based on accounting performance they will:
A) Make every effort to maximise profits in any given period.
B) Adopt projects with low initial returns to ensure long-term success.
C) Ensure income is minimised in a year they will not reach their performance target so that any profits can be recognised in later periods.
D) Undertake long-term research and development projects if they are near to retirement.
E) None of the given Answers.
Correct Answer:
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