ESOPs Have Been Criticized Because the Pensioner Can Become Dependent

question 127

True/False

ESOPs have been criticized because the pensioner can become dependent on the stock price.

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Definitions:

Market Value

The current price at which an asset or service can be bought or sold in an open and competitive market.

Claims Of Creditors

Rights or entitlements that individuals or entities have to demand payment or other remedies from a debtor as per the legal agreements.

Forbearance

A creditor's agreement to temporarily postpone collection efforts or the enforcement of a debt obligation.

Legally Entitled

Having a legal right or claim to something under the law.