Which of the following statements is incorrect? A. Employee stock options are not recorded as an expense
Fantastic news! We've Found the answer you've been seeking!
Question:
Which of the following statements is incorrect?
A. Employee stock options are not recorded as an expense when granted if they are out-of-the money under the intrinsic value method.
B. Employee stock options will not affect the share price of a company when exercised.
C. Employee stock options may reduce agency costs by more closely aligning interests of stockholders and managers.
D. Employee stock options may increase the risk propensity of managers
Related Book For
Cost Management A Strategic Emphasis
ISBN: 978-1259917028
8th edition
Authors: Edward Blocher, David F. Stout, Paul Juras, Steven Smith
Posted Date: