Question

During the year 2018, Halla Walla Limited made
surplus profits due to growing reputation of the
business as a result of sincerity of its
employees. In order to give due recognition to
its employees and motivate them to continue
with the good work, the company decided to
give a certain percentage of profits to them.
Identify the type of financial incentive being
adopted by the company.​

Answer 1

Answer:

The following are the financial incentives:-

(a) Bonus

(b) Provident Fund

(c) Co-partnership

Answer 2

ESOP (Employee stock options), Bonus are the types of financial incentives being adopted by the company

Explanation:

1. As the company made surplus profits due to its employees
2. The company can give ESOP that is Employee stock options to its employees.
3. They are offered as equity compensation plans
4.  So that  employee can also earn profit every timr the cmpany makes profits and when its share price goes up
5. Also company can pay their employes bonus as an another type of financial incentive.