Which of the Following Is Not a Type of Incentive

question 44

Multiple Choice

Which of the following is not a type of incentive?

• A) positive
• B) negative
• C) complementary
• D) indirect
• E) direct

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Definitions:

Increase

A rise in the quantity or value of something, such as profits, revenue, weight, etc.

Put Provision

A clause in a bond or other security that allows the holder to force the issuer to buy back the security before its maturity date.

Call Provision

A clause in a bond contract allowing the issuer to repay the bond before its maturity date under specific conditions.

Convertible Bond

A type of bond that the holder can convert into a specified number of shares of the issuing company, usually at predetermined times during its life.