Abstract
The goal of this paper is to check the variables with the highest probability that determine whether firms grants their CEO equity share or stock option awards or not using stepwise logistic regression. Also, how these variables will affect the magnitude of CEO stock option or equity share awards is also included as a significant problem in the next stage of this research paper. The model averaging method is introduced to make the model selection and gives a more precise prediction on the level of stock option or equity share awards to CEO.
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