Question

The date on which stock options are given to the employee is called the exercise date

a. True
b. False

Answer 1

The date on which stock options are given to the employee is not called the exercise date.

Step-by-step explanation:

The statement is False. The date on which stock options are given to the employee is not called the exercise date. The exercise date refers to the date when the employee decides to purchase the stock options. When stock options are granted to an employee, it is called the grant date. On the grant date, the employee receives the right to buy a certain number of shares at a specified price, known as the exercise price or strike price.