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How managers can be motivated to act in the shareholders' interest?
Profit sharing, the more money the manager makes, the more the shareholders make.
How can managers be encouraged to act in shareholders best interest?
Managers can be encouraged to act in their shareholders best interest by linking their pay to the stock price. When they are motivated by compensation then they will do things to make the share price increase.
What can be done to make the functions of compensation committees consistent with shareholders interest?
Well that was a confusing sentance
In corporation what team group has the ultimate suspilibity of protecting and management the stocks holder interest?
The Board of Directors, who are the representatives of the shareholders.
What are the characteristics of preference shares and ordinary shares?
Preferred shares in a company represent a larger interest in the company than common shares do. Preferred shareholders are paid dividends first, regularly and typically at a higher rate than common shareholders, and if the company declares bankruptcy they have priority over common shareholders who are last in line to get paid.
Residual Interest in a corporation belongs to?
The shareholders.
How managers can be motivated to act in the shareholders' interest?
Profit sharing, the more money the manager makes, the more the shareholders make.
How can managers be encouraged to act in shareholders best interest?
Managers can be encouraged to act in their shareholders best interest by linking their pay to the stock price. When they are motivated by compensation then they will do things to make the share price increase.
What is financial gearing?
It is the relationship between shareholders equity and fixed interest debt.
What can be done to make the functions of compensation committees consistent with shareholders interest?
Well that was a confusing sentance
In corporation what team group has the ultimate suspilibity of protecting and management the stocks holder interest?
The Board of Directors, who are the representatives of the shareholders.
How does equity differ from an asset?
Equity is something gained from an asset such as shareholders, interest earned, or mortgage's. there are many ways to earn equity. one popular way is interest earned from a savings account.
How do you record minority interest?
Minority interest (also known as Non-controlling interest) in business is an accounting concept that refers to the portion of a subsidiary corporation's stock that is not owned by the parent corporation. The magnitude of the minority interest in the subsidiary company is always less than 50% of outstanding shares, else the corporation would cease to be a subsidiary of the parent. Minority interest belongs to other investors and is reported on the consolidated balance sheet of the owning company to reflect the claim on assets belonging to other, non-controlling shareholders. Also, minority interest is reported on the consolidated income statement as a share of profit belonging to minority shareholders.Minority interest is an integral part of the enterprise value of a company. Under IFRS the minority interest (non-controlling interest) is reported in the Equity section of the consolidated balance sheet. Under US GAAP, minority interest appears as a separate component in shareholders' equity.If ABC Corp. owns 90% of XYZ inc, which is a $100 million company, on ABC Corp.'s balance sheet, there would be a $10 million liability in minority interest account to represent the 10% of XYZ Inc. that ABC Corp does not own.Wonder what is Minority Interest? What is PAT after minority interest? What is Net Profit attributable to shareholders? Which is the actual profit shareholders of group receive?
What are the characteristics of preference shares and ordinary shares?
Preferred shares in a company represent a larger interest in the company than common shares do. Preferred shareholders are paid dividends first, regularly and typically at a higher rate than common shareholders, and if the company declares bankruptcy they have priority over common shareholders who are last in line to get paid.
Why do you use an after tax figure for cost of debt but not for cost of equity?
Because interest is a tax-deductible expense for the firm, but dividends paid to shareholders are not.
What is the difference between shareholder and shareowner?
I presume the difference between a shareholder and shareowner is that shareholders are fiduciaries that hold shares for safekeeping until the shares are properly transferred to shareowners who outright own shares in equitable title; thus, being the ultimate customer and beneficial owners. Shareholders are custodians that have a minority interest in the shares, as opposed to a majority or material interest.
Where can one compare Nationwide building society interest rates?
You can compare Nationwide building society interest rates online at the website called Nationwide. Their saving promise to you is that they are on your side, with no shareholders to worry about and that their only focus is on you.
