Rather Than Focus Solely on Financial Considerations, Many Firms Offer

question 24

True/False

Rather than focus solely on financial considerations, many firms offer attractive benefits to entice employees to stay. These may include on-site stores, ATMs and athletic facilities.

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Definitions:

Coattail Provision

A feature in shareholders' agreements that obliges minority shareholders to join in the sale of a company if the majority shareholders agree to sell their shares.

Restricted Shares

Shares of stock that are granted to an employee but come with restrictions on sale and transfer until certain conditions are met.

Cocktail Provision

A clause in agreements or policies designed to handle unforeseen circumstances.

Preferred Shares

Type of ownership in a corporation that has a higher claim on its assets and earnings than common shares, often with fixed dividends.