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Suzanne received 20 ISOs (each option gives her the right to purchase 20 shares of stock for $12 per share)at the time she started working when the stock price was $14 per share.Three years later,when the share price was $23 per share,she exercised all of her options.How much cash will Suzanne need on the exercise date?
Habituation
The process of becoming accustomed to a stimulus after repeated exposure, leading to a decrease in responsiveness.
Operant Conditioning
A method of learning that occurs through rewards and punishments for behavior, influencing the likelihood of that behavior being repeated.
Classical Conditioning
A teaching technique involving the repetitive pairing of two signals; a reaction initially caused by the second signal is ultimately induced by just the first signal.
Scale Error
A cognitive error observed in young children where they misjudge the size of objects, attempting interactions that are not possible due to size discrepancies.
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