Question: How does a company create liquidity through purchasing inventory? If the goal of a corporation is to maximize shareholder wealth, the interests of the managers

  1. How does a company create liquidity through purchasing inventory?
  2. If the goal of a corporation is to maximize shareholder wealth, the interests of the managers and the shareholders need to be aligned. The simplest way to align these interests is to structure compensation packages appropriately to encourage managers to act in the best interests of shareholders through stock and options awards.

Please give your thoughts around executive compensation and the transparency of pay versus performance.

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