Quote Originally Posted by xsnaggle View Post
In large Companies don't the directors remunerations reflect the previous years business or even the year before that?
I recall many years ago talking to a man called Sam Toy who was the MD of Ford UK. Ford were then currently making loss but he had just got a huge pay rise of something like 60% as I recall, because it was based on a previous year when ford had made a huge profit.
Not necessarily. The accounts for the year in question should show the directors fees that relate to that year, regardless of when they are actually paid.
Profit & Loss Accounts are prepared on an accruals basis, not a cash basis.