ASU Crossedcurrents Inc Incentive Compensation Program Question
Question Description
The board of directors of Crossedcurrents, Inc. will hold its quarterly meeting next week. One of the items on the agenda is a revision to the management incentive compensation program (ICP). Currently, the ICP provides that incentive bonuses will be based on the year-to-year change in quarterly net profits shown in the company’s Forms 10-Q and, for the fourth quarter, Form 10-K filed with the SEC. If profits go down, there will be no bonuses. Bonuses can be paid four times a year. The proposal is to change the metric from annual changes in the Forms 10-Q to an annual target set at the beginning of the year and measured using a non-GAAP calculation of “business profits.” Crossedcurrents, Inc. is a U.S. company with no international operations. It is publicly traded. Required: Using the decision-making model and Kant’s version of deontology, evaluate the decision the board of directors must make regarding the proposed change to the ICP.
Note:
follow the the image attached below for the decision-making model and SKIP STEP #6
Find out what is Kant’s version of deontology, because there is no given materials for it.

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