What Occurs When Applying Expectancy Theory to Employees in Nonprofit

question 17

Multiple Choice

What occurs when applying expectancy theory to employees in nonprofit organizations?

• A)Cash awards are more attractive,and therefore more motivating than prizes.
• B)Prizes are more attractive,and therefore more motivating than cash awards.
• C)Stock options are more attractive,and therefore more motivating than cash awards.
• D)Stock options are more attractive,and therefore more motivating than prizes.

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Definitions:

Unrealized Gains

Increases in the value of an asset that have not been sold, hence not yet converting the gain into cash.

Available-For-Sale Securities

Financial assets that are purchased with the intention of selling before their maturity date, not held for long-term investment.

Trading Debt Securities

The act of buying and selling debt instruments, such as bonds, in the financial markets as a means of investment or speculation.

Fair Value Adjustment

An accounting process to adjust the book value of an asset or liability to its fair value.