Aharon Exercises 10 Stock Options Awarded Several Years Ago

question 84

Multiple Choice

Aharon exercises 10 stock options awarded several years ago. The following information pertains to the options: (1) each option gives the employee the right to buy 10 shares, (2) the market price on the grant date was $7, (3) the strike price is $10, and (4) the market price on the exercise date was $15. How much will it cost Aharon to purchase the options on the exercise date?

• A)$90
• B)$500
• C)$700
• D)$1,000

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Definitions:

Elements Of Trust

Fundamental aspects that contribute to the establishment and maintenance of trust, such as reliability, competence, integrity, and communication.

Self-disclosure

The process where individuals share personal, private information about themselves to others, enhancing interpersonal understanding.

Risk

The possibility of loss, injury, or other adverse or unwelcome circumstance; a chance or situation involving such a possibility.

Five Elements

A phrase that could refer to fundamental components in various contexts, such as traditional Chinese philosophy, project management, or design principles.