A lag indicator is a performance measure that forecasts future performance
Indicate whether the statement is true or false
FALSE
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The board of directors carries out the day-to-day operations of the business
Indicate whether the statement is true or false
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.
________ are standardized measures of behavior whose primary objective is to assess the ability to do rather than the ability to know.
A. Job-knowledge tests B. Cognitive-ability tests C. Work-sample tests D. Integrity tests
Nero opened Oh! Fudge!, a candy store, as a corporation. When doing business on behalf of the store, to avoid personal liability, Nero should sign contracts
A. as an agent for the corporation. B. in his individual capacity. C. as a gourmand. D. under a false name.