Understanding Business
12th Edition
ISBN: 9781259929434
Author: William Nickels
Publisher: McGraw-Hill Education
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Question
Chapter 12, Problem 5TP
Summary Introduction
To discuss: The difference in the pay given to top executives in US Country with the top executives in other countries.
Introduction: Top executives in an organization are the individuals that hold the most responsibilities of all the business actions. The different titles of top executives in an organization are the chairman of the company, its directors, president and officers.
Expert Solution & Answer
Answer to Problem 5TP
The top executives in US Country can be differentiated with the top executives in other countries on the basis of the fraction of money or premium paid to the executives in US Country as compared to the other countries.
Explanation of Solution
The pay of the top level executive in US Country is far greater than the pay given to the top executives in other countries of the world. For example, the Chief Executive officer (CEO) in E Country can earn only a 40% fraction of the total pay given to the top level executive in the US Country counterparts.
- The range of pay of executives is far above is the pay given to the top executives in US Country.
- The risk lovers in US Country are paid more to take the risk associated with the investments make in securities.
- Moreover, the top level executives in US Country receive higher pay than the executives in other countries in the form of stocks as well as options.
Conclusion
Therefore, the pay of top executives in US Country can be compared to the top executives in other countries of the world, as the pay of executives in US Country is much greater than the pay of executives in other countries of the world.
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Chapter 12 Solutions
Understanding Business
Ch. 12.1 - Prob. 12.1AQCh. 12.4 - Prob. 12.4AQCh. 12.4 - Prob. 12.4BQCh. 12.4 - Prob. 1MEDCh. 12.4 - Prob. 1TPCh. 12.4 - Prob. 2TPCh. 12.4 - Prob. 3TPCh. 12.4 - Prob. 4TPCh. 12.5 - Prob. 12.5AQCh. 12.5 - Prob. 12.5BQ
Ch. 12.5 - Prob. 12.5CQCh. 12 - Prob. 5TPCh. 12 - Prob. 6TPCh. 12 - Prob. 7TPCh. 12 - Prob. 8TPCh. 12 - Prob. 1CECh. 12 - Prob. 2CECh. 12 - Prob. 3CECh. 12 - Prob. 1CTCh. 12 - Prob. 2CTCh. 12 - Prob. 3CTCh. 12 - Prob. 1DCSCh. 12 - Prob. 2DCSCh. 12 - Prob. 3DCSCh. 12 - Prob. 4DCSCh. 12 - Prob. 5DCSCh. 12 - Prob. 1PPTCh. 12 - Prob. 1VCCh. 12 - Prob. 2VCCh. 12 - Prob. 3VC
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