Problem 1. Explain why executive stock option plans became very popular in the 1990's? Do you believe the white-collar crime scandals of 2001-2002 will dampen the enthusiasm for stock option plans?
Problem 2. How can a person's acquisition of knowledge be determined so that his or her pay can be changed? Explain.
Problem 3. Explain the meaning and intent of a feedback pay system.
Problem 4. Explain the concept of a variable pay system.
Problem 5. How do you want your compensation package determined? Explain.