Asked by Jalan McMullen on Sep 23, 2024
A _____ plan is an award of shares with restrictions that require a predetermined length of service to elapse before vesting occurs.
A) premium-priced stock option
B) performance-vested restricted stock
C) time-based restricted stock
D) time-restricted stock option
E) indexed stock option
Performance-Vested
Incentive plans where rewards, often in the form of stock options or bonuses, are given to employees based on achieving predefined performance targets.
Time-Based Restricted Stock
A type of stock option granted to employees as part of their compensation, with restrictions that lapse over a certain period of employment.
Vesting Occurs
The process by which an employee gains nonforfeitable rights over employer-provided assets or benefits, such as retirement funds, over time.
- Learn about the multiplicity of incentive schemes used in professional environments.
Learning Objectives
- Learn about the multiplicity of incentive schemes used in professional environments.