Most of the expansion in the number of outstanding shares of publicly-traded companies is currently a result of
A)initial public offerings.
B)seasoned equity offerings.
C)after-market offerings.
D)employee stock option plans.

Question

Quizplus · Accepted Answer

Employee stock option plans, or ESOPs, are a popular way for companies to compensate their employees. When employees exercise their stock options, new shares are issued, increasing the number of outstanding shares. This is currently the main driver of share count growth in publicly-traded companies.

Most of the Expansion in the Number of Outstanding Shares