A proposed Model for Using Fuzzy Logic Theory to Measure The Profit-Sharing Ratio Granted to Executives A case Study of White Room Company

Abstract

This research studies and analyzes the validity of using a model to measure the profit sharing ratio granted to executives in addition to the fixed salary based on the theory of fuzzy logic in incentives granted to managers in the form of a fixed cash amount and a percentage of profit sharing calculated according to the theory of fuzzy logic, this research is considered an extension of accounting research in this field and offers development from two main angles: the first angle is represented by this research conducting a multiple evaluation of the results of using a model to measure the profit sharing ratio granted to executives with bonuses and incentives using the theory of fuzzy logic by calculating the profit sharing the profit ratio in addition to testing the models ability to focus managers attention on their primary responsivities in maximizing the wealth of the organization and managing the its assets with high efficiency that is well reflected in the credibility of the financial statements.      

The second angle is represented by clarifying the impact of debt conditions and forms on managements behavior when preparing financial reports.