As firm size Blank______, managerial salaries tend to Blank______.Multiple choice question.decrease; increaseincreases; decreaseincreases; increase
Question
As firm size Blank______, managerial salaries tend to Blank______.Multiple choice question.decrease; increaseincreases; decreaseincreases; increase
Solution
The correct answer is "increases; increase". As the size of a firm increases, the complexity and responsibilities of managerial roles also increase. Therefore, to compensate for the increased workload and responsibilities, managerial salaries also tend to increase.
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