Regarding employee stock options, which of the following is/are not true?
a. Firms compute a fair-value-based measure of employee stock options on the date of the grant using an option-pricing model that incorporates information about the current market price, the exercise price, the expected time between grant and exercise, the expected volatility of the stock, the expected dividends, and the risk-free interest rate.
b. Total compensation cost is the number of options the firm expects to vest times the value per option.
c. Firms amortize total compensation cost over the requisite service period, which is the expected period of benefit.
d. The requisite service period is usually the period between the grant date and the vesting date.
e. Firms typically remeasure most types of stock options after the initial grant date.
E
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When a group is engaged in intergroup conflict, its cohesion tends to ________.
A. decrease B. increase C. remain the same D. Conflict has no effect on cohesion.
Buck sends text messages to executives in his company, using incorrect abbreviations, no capitalization or punctuation, along with incomplete sentences
Based on this approach, Buck is likely to be admired by company executives for avoiding the appearance of a stiff bureaucrat. Indicate whether the statement is true or false.
A shampoo brand making shower gel and lotion is an example of _____________________.
a. Product extension b. Brand extension c. Line extension d. Co-branding
The partnership is a pass-through entity and a taxpaying entity
Indicate whether the statement is true or false