Which statement is true of using stock options as incentive pay?
A. Low-level employees with stock options are more likely to think like owners than executives who have stock options.
B. Stock options require an option holder to purchase the organization's stocks at its present market rate.
C. Stock options are rewarding for employees who exercise their option when the company's stock value has risen.
D. The use of stock options ensures that managers add value in terms of efficiency and customer satisfaction.
E. A company's performance in the stock market tends to be significantly better if its low-level employees are provided stock options.
Answer: C
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