The Board of Directors of Clementine Minerals and Mining has been challenged by shareholders about the total compensation of the CEO.In order to examine whether the CEO's pay is reasonable,the Board of Directors should be able to defend all of the following questions EXCEPT
A) Would another company hire this CEO?
B) How does the CEO's compensation compare with that of CEOs in other companies in the mining industry?
C) Is the CEO's pay approximately 22 times the pay of the average employee at Clementine Minerals and Mining?
D) What would an investor pay for the CEO's level of performance?
Correct Answer:
Verified
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