Anthony, R., Hawkins, D., Merchant, K.A. (2011) Accounting: Texts and Cases (13th edition). McGraw-Hill/Irwin. Chapter 23
Chapter 23 focuses our attention on the control process of management. In particular, this week requires that we examine how a cost accounting system can help us design appropriate compensation systems.
Describe, by specific example, potential features of a compensation system. In particular, at least one what feature a compensation system should have, or at least one feature it should not have, and how the presence or absence of these features might affect the performance of the firm.