What Incentive Plan Allows Executives to Buy a Specified Amount

question 93

Multiple Choice

What incentive plan allows executives to buy a specified amount of stock in the future at or below the current market price?

• A) stock option
• B) indexed stock option
• C) open-end stock option
• D) closed-end stock option

---

Definitions:

Costs

The monetary value associated with the consumption of resources, such as production, operations, or acquisition expenses.

Unhealthy Rivalries

Competitive relationships that can have negative effects on individuals or groups, including stress, decreased cooperation, and conflict.

Work Process

The sequence of tasks or activities that are undertaken to transform inputs (resources, materials, information) into outputs (products, services).

Functional Silo

is a situation where different departments or sections within an organization operate in isolation from one another.