Answer:
B. The Use of a Private Jet
Explanation:
There is always a conflict between the interest of the executives of an organisation and the interest of the shareholders. However, the main purpose of the board of executives of any organisation is to maximize the wealth of the shareholders of the company.
In order to motivate or encourage the executives to face this wealth maximization goal, given them stock options or a percentage of the company's profit is ideal. Based on these, they also become stakeholders in the company and will ensure that the profitability as well as the stock options of the business does well.
However, using a private jet does not increase their ownership in the business does it give them commission in form of a percentage of the company's profit, hence, it holds no encouragement for them to help maximize the wealth of shareholders in the long-run.
