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Q 3 , Imagine you manage a small division with 2 0 - 3 0 employees who make an average of $ 6 0 .
Q Imagine you manage a small division with employees who make an average of $ a year or $ per month The employees are paid monthly.You are thinking of ways to optimize the satisfaction they will get from a $ bonus per employee that they will receive this year. Consider the following options for delivering the bonus. For simplicity, ignore tax considerations: you mau treat all values as aftertax quantities.Option A: Issue a separate $ bonus check to each employee.Option B: Combine the $ with a month's salary into paycheck ie issue a $ paycheck for a single monthOption C: Distribute the $ evenly across the monthly paychecks ie issue twelve paychecks of $ eacha Which option is likely to be most attractive to the employees? Which would be least attractive? Why? Discuss, and justify your answers. usine principles of mental accounting.b Can you think of any other ways of distributing the bonus that could be superior to the options above, in terms of how attractive they seem to the employees?
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