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Shareholders have several ways to ensure that firms pursue goals that are in their best interest. One of these is to: a. reward management for
Shareholders have several ways to ensure that firms pursue goals that are in their best interest. One of these is to:
a. | reward management for working towards maximizing current earnings. | |
b. | provide incentives that motivate managers to take actions that maximize stock prices. | |
c. | compensate managers on the basis of the firm's best performance in the last five years. |
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