Employees Receiving Nonqualified Stock Options Recognize Ordinary Income at the Grant

question 24

True/False

Employees receiving nonqualified stock options recognize ordinary income at the grant date or exercise date if there is a readily ascertainable fair market value.

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Definitions:

Accommodation

A conflict management style in which the person plays down differences and highlights similarities to reduce conflict.

Avoidance

The act of keeping away from or preventing the occurrence of something undesirable.

Uncooperative

Characterized by a lack of willingness or refusal to work together with others in a collaborative or cooperative manner.

Unassertive

Characterized by a lack of confidence or forcefulness in expressing one's views or desires.