An Executive Compensation Plan in Which the Executive May Receive

question 4

Multiple Choice

An executive compensation plan in which the executive may receive compensation in cash, shares, or a combination of both, is known as

• A) a nonqualified shares option plan.
• B) a performance-type plan.
• C) a stock appreciation rights plan.
• D) both a performance-type and a stock appreciation rights plan.

---

Definitions:

Present Value

The value today of a future sum of money or sequence of cash flows, when discounted by a certain rate of return.