Performance-based bonuses DO NOT give managers a personal incentive to:
A)increase sales and enhance company growth.
B)decrease expenses and boost efficiency.
C)misrepresent financial data on company performance.
D)overstate liabilities of the company.

Question

Quizplus · Accepted Answer

Performance-based bonuses may incentivize managers to misrepresent financial data to show better performance, but overstating liabilities would not typically benefit them as it would make the company's financial position appear worse.

Performance-Based Bonuses DO NOT Give Managers a Personal Incentive To