Question: ABC Lawn Services Inc. wants to implement a pay system that will reward its employees with extra income when the firm does well financially. The

ABC Lawn Services Inc. wants to implement a pay system that will reward its employees with extra income when the firm does well financially. The CEO has been informed that there are stock plans that can be used. As a compensation expert, explain to the CEO two different types of stock-based plans that can be used. Furthermore, discuss three key issues that the firm needs to consider in designing stock-based plans in general [20 marks]

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