Which of the following statements about golden parachutes is false?
A.Golden parachutes may weaken the incentive for executive to exert effort. as they weaken the
threat of dismissal
B.Golden parachutes may help to prevent management entrenchment by giving executives
incentive not to resist hostile takeovers
C.Golden parachutes are contractual provisions that specify a payment to executives in case of
dismissal
D.Golden parachutes may help improve staff retention