Which of the following statements is true regarding an employee stock ownership plan (ESOP)?
A) Under this plan employees acquire stock often at below-market prices.
B) Research on ESOPs indicates that it does not affect employee satisfaction.
C) ESOPs for top management tend to increases unethical behavior.
D) Research on ESOPs indicates that ESOPs drastically improve employee performance.
E) ESOPs are also called competency-based pay plans.

Question

Quizplus · Accepted Answer

A) Under the employee stock ownership plan, employees acquire stock often at below-market prices. Research on ESOPs indicates they increase employee satisfaction. But their impact on performance is less clear. ESOPs for top management can reduce unethical behavior.

Which of the Following Statements Is True Regarding an Employee