Question
Consider stock-based compensation: stock options, restricted stock and stock appreciation rights. Which of the following statements is FALSE ? a. Stock options only impact earnings
Consider stock-based compensation: stock options, restricted stock and stock appreciation rights. Which of the following statements is FALSE?
a. | Stock options only impact earnings in the year of issue. | |
b. | Stock options and other share-based awards may have a dilutive impact on earnings per share. | |
c. | Restricted stock and restricted stock units are now frequently used because compensation expense is typically lower as compared to compensation expense for stock options. | |
d. | Stock appreciation rights give the employee compensation (stock or cash) at a future date, based on the market price at the date of exercise in excess of a pre-established price. | |
e. | All three types require recording compensation expense over multiple accounting periods related to service and vesting. |
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