The Board of Directors May Grant Stock Options to Managers

question 51

Multiple Choice

The board of directors may grant stock options to managers.These are

• A)call options.
• B)put options.
• C)both of the options
• D)none of the options

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Definitions:

Templeton Growth Fund

A mutual fund that aims for long-term capital growth by investing primarily in the equity of companies around the world.

Invested

Money that is allocated for a particular purpose, such as buying stocks or bonds, in the hope of generating a financial return.

Strip Bond

A type of bond where the principal and regular coupon payments have been separated and are sold individually.

Compounded Semiannually

Interest calculated twice a year on the initial principal and previously earned interest.