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March 2010
CPAs Chime in Regarding Annual Bonus Plan Designs
From AICPA news.
The economic crisis has had an effect both on the choice of performance measures in CFO annual bonus plans and on the difficulty of bonus targets. The results of the 2009 CFO Compensation and Incentives Survey, conducted by Michal Matëjka of the Ross School of Business at the University of Michigan, demonstrate how the design of executive compensation plans in difficult times requires careful scrutiny. This AICPA Business Brief explains the survey results and provides practical guidance for executive compensation strategies.

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