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Which of the following are shares of company stock that are awarded to executives at the end of the mandatory stipulation period?

What are these shares called?
a. Stock Options
b. Restricted Stock Units (RSUs)
c. Employee Stock Purchase Plan (ESPP)
d. Performance Shares

User Onat
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Final answer:

The shares awarded to executives after a stipulation period are known as Restricted Stock Units (RSUs), which incentivize and retain key employees.

Step-by-step explanation:

The shares of company stock that are awarded to executives at the end of the mandatory stipulation period are called Restricted Stock Units (RSUs). RSUs are a type of compensation used by companies to incentivize and retain key employees. They represent a promise to give the recipient shares of the company's stock or the cash equivalent at a future date, once certain vesting conditions are met. Unlike stock options, which give employees the right to buy the company's stock at a set price, RSUs are given outright at no cost to the employee once they vest.

User Rene Koch
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