When an Employee Stock Option Is Exercised,which of the Following

question 17

Multiple Choice

When an employee stock option is exercised,which of the following is usually true?

• A) The employee pays the market price for the shares and the company refunds the difference between the market price and the strike price
• B) The company or the company's agent buys stock in the market for the employee
• C) The company issues more shares and sells them to the employee for the strike price
• D) The employee cannot immediately sell the shares

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Definitions:

Self-directed Work Teams

Groups of employees who manage their own work and processes without direct supervision, often responsible for making business decisions related to their activities.

Member Satisfaction

The degree to which the expectations and needs of members within an organization or group are met or exceeded.

Team Viability

The capacity of a team to work together effectively over time, adapting to challenges and maintaining their performance and member satisfaction.

Personal Needs

pertain to the essential or very important requirements or desires of individuals that contribute to their well-being.