Which of the following is normally regarded as being a good reasons to establish an ESOP?...
Which of the following is normally regarded as being a good reasons to establish an ESOP? A) To enable the firm to borrow at a below-market interest rate. B) agency costs would be the same for both companies C) To help retain valued employees. D)All of the above E) none of the above
Homework Answers
ESOP is the employee stock option plan. This plan provides the share of the company to the employee which is valuable for the company. ESOP help in increasing the stock price of the company as the employee wants to increase the share price. ESOP is the return to valuable employees. It helps the company to generate finance as well. ESOP motivates the employees to work in favor of the shareholders. It helps in retaining valuable employees as they become the owners of the company.
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Which of the following is normally regarded as being a good
reasons to establish an ESOP?...
(TCO 5) Which of the following is true? Group of answer choices Current yield = dividends...
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is assignment. u to all yuestions practiced in pod luck. Question 67 0.1 pts Which of...
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Question31 Which of the following is a disadvantage of using standardized financial contracts as a risk...
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is assignment. u to all yuestions practiced in pod luck. Question 67 0.1 pts Which of the following is not correct about contestable markets? There is easy entry into and costless exit from the market. New firms entering the market can produce the product at the same cost as current firms. Firms exiting the market can easily dispose of their fixed assets by selling them elsewhere. Firms already in the market have technological advantages. < Previous Next Quiz saved at...
Question31 Which of the following is a disadvantage of using standardized financial contracts as a risk management tool? they are typically cheaper to enter into, since they are standardized they are typically more expensive than customized contracts they are typically more liquid, and thus provide the potential to sell out of the position. their specifications may not provide a good match to the actual risk exposure being hedged. none of the above, i.e. all of the above are either advantages...
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