Which Is the Date When Employees Elect to Exchange the Option

question 53

Multiple Choice

Which is the date when employees elect to exchange the option and cash for shares of common stock?

• A) vesting date
• B) grant date
• C) exercise date
• D) market date

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Definitions:

Stocks

Shares representing ownership interests in corporations, allowing investors to claim on businesses' assets and earnings.

Variance

The average of the squared differences from the mean, providing a measure of how spread out numbers are.

Binomial Distribution

The binomial distribution is a probability distribution that summarizes the likelihood of obtaining a fixed number of successes in a fixed number of trials with a specific probability of success in each trial.

Expected Value

A statistical concept representing the average outcome of a random variable over a large number of experiments or trials.