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( 275,000 ) ? Read the requirements. Requirement 1. What factors would affect Akita International's choice of employment contract? Include a discussion of the pros

image text in transcribed \\( 275,000 \\) ? Read the requirements. Requirement 1. What factors would affect Akita International's choice of employment contract? Include a discussion of the pros and cons of each proposed contract. Akita International of this risk is \\( \\square \\). The choice be based on whether the incentive under the bonus plan is likely to be worth the cost of the risk. Another factor to consider is that highly qualified managers seek contracts with a bonus because they would be Because Akita International receives \\( \\) of every \\( 10 \\) of extra profit generated, attracting a highly qualified manager to be advantageous. Requirement 2 . Why is the expected compensation more with the bonus plan than with the straight salary? If the expected compensation did not differ, managers would prefer a contract with risk. Extra compensation to offset the added risk

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