Managerial Finance: Volume 23 Issue 5

The Market Reaction to Changes in Compensation Contracts: A Review of the Evidence

Jennifer J. Gaver, Kenneth M. Gaver

Empirical evidence on the shareholder wealth effects of changes in executive compensation agreements is provided by a body of research which examines common stock returns around…

Performance Plan Adoption and Performance: The Contingency of Ownership Structure

Ahmed Riahi‐Belkaoui, Ronald D. Picur

This study examined the relation between performance plan adoption and profitability. It posits that the nature of this relation varies with the ownership structure of the firm…

Performance Plan Adoption and Corporate Performance

James W. Bannister, Paul H. Mihalek, Carl S. Smith

Performance plans, a form of executive compensation plan, are designed to reward management for improved performance over the long run. Various accounting measures can be used to…

Factors Associated with the Use of Long‐Term Earnings and Market‐Based Compensation Plans

Krishna R. Kumar

Factors associated with the use of long‐term plans in management compensation contracts and the choice between earnings‐based performance plans and market‐based long‐term plans…

Accounting Earnings and Effort Allocation

Rajiv D. Banker, Alex Thevaranjan

The impact of accounting earnings based compensation contracts an effort allocation is analyzed using an agency‐theoretic model. In this model, the CEO of a publicly traded firm…