Stock Options Give Recipients a Right to Buy the Company

question 3

True/False

Stock options give recipients a right to buy the company stock at a set (exercise)price.The exercise price is usually the stock's 4 p.m.price on the date of the grant,an average of the day's high and low,or the 4 p.m.price the day before.

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Definitions:

Median

A statistical measure that represents the middle value in a given series of numbers, dividing the dataset into two equal halves.

Mode

The value that appears most frequently in a data set, representing the most common outcome.

Variation

The occurrence of differing or changing characteristics within a species, population, or process, often leading to evolutionary adaptations or improvements in a species’ ability to survive.

Correlation Coefficient

A numerical measure that indicates the extent to which two variables fluctuate together.