Unformatted text preview: 3. Recommend compensation packages for the vice presidents of each investment center, based on the above. The compensation package should reflect the Company’s strategy and goals. 4. Prepare a memo to the CEO presenting your analysis and conclusions. • For this computationally intense case, the annual report provides you with most of the needed information, however you may need to make certain assumptions regarding segment portion of revenues/costs and assets/liabilities. • Assume that equity investors require an 8% rate of return • The weighted-average shares outstanding (used to calculate earnings per share) is a good measure of the number of shares outstanding....
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- Spring '11
- Cost Accounting, Investment Center, Case 10-Performance Measurement, Recommend compensation packages, computationally intense case