Maria,the financial officer at Boone & Borowitz,encourages the human resource manager to consider using stock options as incentive pay for all employees.The human resource manager cautions that employees could become upset if the options don't turn out to be as valuable as cash.Which of the following statements supports this concern?
A) Stock options are not profitable to employees.
B) Option owners must exercise the options,no matter what the market price.
C) Employees may not purchase their employer's stock.
D) Offering stock options discourages employees from thinking like owners.
E) Stock prices in the market may fall below the exercise price of the options.
Correct Answer:
Verified
Q67: Team awards differ from group bonuses in
Q70: If a company distributes stock to employees
Q74: Which of the following best describes profit
Q79: The link between employees' performance and pay
Q93: Which of the following is a disadvantage
Q94: Which of the following statements is true
Q98: _ occurs when a date or price
Q100: Sheldon,the manager of a manufacturing firm,wants the
Q101: Which of the following is a reason
Q102: If employee participation in making pay-related decisions
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents