Problem

True or false?a. U.S. CEOs are paid much more than CEOs in other countries.b. A large frac...

True or false?

a. U.S. CEOs are paid much more than CEOs in other countries.


b. A large fraction of compensation for U.S. CEOs comes from stock-option grants.


c. Stock-option grants give the manager a certain number of shares delivered at annual intervals, usually over five years.


d. U.S. accounting rules now require recognition of the value of stock-option grants as a compensation expense.

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Solutions For Problems in Chapter 12