Which of the Following Observations Concerning Backdating of Options Is

question 12

Multiple Choice

Which of the following observations concerning backdating of options is true?

• A) It will not result in restatement of financial statements.
• B) The extraordinary timing and frequency of occurrences defied statistical probability.
• C) There is no concrete evidence that managers gained because of this practice.
• D) It is an accepted means of compensating managers who perform exceedingly well.

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Definitions:

Learned Helplessness

is a condition in which a person suffers from a sense of powerlessness, arising from persistent failure to succeed or lack of control over their environment.

Seligman

A psychologist known for his work in positive psychology and studies on learned helplessness and optimism.

Cognitive Process

The mental activities related to thinking, understanding, learning, and remembering.

Reacting

The process of responding to stimuli or events in the environment.