Executive stock options are issued with the hope that the recipient will:

Question

Quizplus · Accepted Answer

Executive stock options are typically issued to incentivize executives to work towards increasing the value of the firm's stock. The hope is that this will align the interests of the executives with those of the shareholders, and motivate them to make decisions that will ultimately benefit the company and its stakeholders. While the other answer choices may be possible outcomes of executive stock options, increasing the value of the firm's stock is the primary goal of these incentives.

Executive Stock Options Are Issued with the Hope That the Recipient