Which of the Following Statements Is False

question 27

Multiple Choice

Which of the following statements is false?

• A) Stock appreciation rights are a form of compensation similar to a bonus.
• B) Employees holding stock appreciation rights are required to purchase shares on the vesting date.
• C) The employee benefits from stock appreciation rights only if the stock price increases.
• D) The liability for a SAR is measured as the difference between the stock price and the pre-established price.

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Definitions:

Physical Change

A type of change in which the form of matter is altered but one substance is not transformed into another, maintaining the material's chemical properties.

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration. It is naturally present in the air and absorbed by plants in photosynthesis.

Iron

A metallic element (Fe) that is vital for biological processes in humans and other organisms, such as oxygen transport and cellular metabolism.

Scrap Metal

Waste metal materials that can be recycled and reused, often collected from leftover products, buildings, or discarded industrial machinery.