Which variable in executive compensation packages accounts for the majority of the value associated with executive pay in Canada?
A) annual bonuses
B) base pay
C) stock grants and stock options
D) perks

Question

Quizplus · Accepted Answer

According to research, stock grants and stock options account for the majority of the value associated with executive compensation packages in Canada. This is because these types of variable compensation are often linked to the company's performance, and therefore provide executives with a strong incentive to work towards improving the organization's financial results. Annual bonuses and base pay are also important components of executive compensation, but they tend to be less significant in terms of overall value compared to stock grants and stock options. Perks, such as company cars and club memberships, are generally a smaller component of executive compensation packages.

Which Variable in Executive Compensation Packages Accounts for the Majority