No you can't misrepresent your business in any form. If you are found doing this then you can be sued because people relied on your expert opinion to make a decision to invest in your company.
An executive chairman is full time office holder who typically leads the board and also takes a hands-on role in the company's day-to-day management. Because of the dual role, some say there is a significant agency cost to having someone be the head of both the board of directors and executive officers. An imbalance of the "checks and balances" of corporate governance is thus created. A non executive chairman is a part time office holder who sits on and chairs the main board of a company, and also usually provides support and advice to a chief executive officer. This position usually entails fulfilling a similar function on a number of ancillary board committee, as well as being a political figurehead of the company.
A CEO is the Chief Executive Officer, an MD is a Managing Director.
The Chief Executive Officer is usually the owner of the business and outlines the companies goals and how he/she wants it to perform. The Managing Director is then the one who comes up with strategy plans and runs the workforce in order to meet the Cheif Executive Officer's orders. In some companies the Chief Executive Officer and the Managing Director are the same person, however this usually in smaller companies, but there have been instances in large corporations where they are also the same person- but this is rare. An example of a time when this occured in a large corporation would be that of Sir Reginal Miles Ansett's running of Ansett Airlines of Australia.
You read the clause. If it was properly written, it will tell you exactly how the bonus/penalty is to be calculated. The contract may even include examples.
In contractual terms, a penalty clause is specifically there to encourage the other party to finish the contract, and to punish that party if there is a breach. Penalty clauses are not calculated with respect to a genuine estimate of the losses that will be incurred by the contracting party. If there is a genuine attempt to estimate damages, and you agree to them, it is called liquidated damages. The courts will ignore a penalty clause because it is unfair, and calculate the actual damage you cause the other party.