Cheung, Joseph K.; Kim, Jeong‐Bon; Wong, Danny - In: Asian Review of Accounting 4 (1996) 1, pp. 63-80
The paper analyses the differential effect of alternative fixed‐cost allocations on managerial effort and risk sharing. In doing so, two alternative schemes are considered: (1) the lump‐sum allocation; and (2) the proportional allocation. Analyses are conducted in the context of a...