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Some managers use statistical methods,such as regression analysis,to test the anticipated cause-and-effect relationships between various non-financial measures and financial measures.
Compensatory Stock Option Plan
A plan offered by a company to its employees as a form of compensation, which grants them the option to buy the company’s stock at a predetermined price.
Exercise Price
The price at which an option holder can buy (call option) or sell (put option) the underlying security or commodity.
Stock Warrants
Securities that give the holder the right to purchase a company's stock at a specified price before a certain date.
Fixed Compensatory Option Plan
A stock option plan that provides employees with the right to purchase company shares at a fixed price as part of their compensation package.
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