If managers' performance is evaluated solely on the current year's profitability,managers are likely to make decisions that lead to the company's long-term profitability.

Question

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If managers' performance is evaluated solely on the current year's profitability, they are more likely to focus on short-term gain and may make decisions that sacrifice long-term profitability for immediate results. This can lead to negative consequences in the future.

If Managers' Performance Is Evaluated Solely on the Current Year's