*PepsiCo Inc.replaces some of its stock options program with a _____ because companies now have to report the stock options as an expense.
A)cash incentive program
B)stock buy-back program
C)gift card incentive
D)paid-time off incentive

Question

Quizplus · Accepted Answer

Since companies now have to report stock options as an expense, PepsiCo Inc. is likely replacing some of its stock options program with a cash incentive program. This allows the company to still provide incentives to employees while avoiding the expense and reporting hassle of stock options. Stock buy-back programs and gift card or paid-time off incentives do not directly replace a stock options program in the same way that a cash incentive program does.