Which of the Following Differentiates Between Stock Options and Employee

question 16

Multiple Choice

Which of the following differentiates between stock options and employee stock ownership plans?

• A) Stock options are a part of the salary received, while employee stock ownership plans are a form of the other compensations.
• B) Stock options allow employees to buy stock at a fixed price, while employee stock ownership plans involve giving stock as reward for performance.
• C) Stock options have a short-term validity, while employee stock ownership plans are applicable in the longer run.
• D) Stock options are available to employees only, while employee stock ownership plans are given to outsiders too.
• E) Stock options are provided on a team basis, while employee stock ownerships are offered at the divisional level.

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Definitions:

Cognition-focused

Pertaining to approaches or interventions that concentrate on improving mental processes such as thinking, memory, and problem-solving.

Classical Conditioning

A training technique in which a reaction, initially caused by a subsequent stimulus, becomes associated with an earlier stimulus following repeated pairings of the stimuli.

Phobia

An extreme or irrational fear of or aversion to something, significantly impacting an individual's life and choices.

Humanistic-existential

Humanistic-existential psychology focuses on individual experience and personal growth, emphasizing personal responsibility, free will, and the meaning of life.