The right to purchase a specific number of shares of company stock at a specific price at some point in the future is called a
A) book value plan.
B) stock appreciation right.
C) phantom stock plan.
D) stock option plan.
E) restricted stock plan.

Question

Quizplus · Accepted Answer

The right to purchase a specific number of shares of company stock at a specific price at some point in the future is called a stock option plan. It is a type of employee benefit plan that allows employees to purchase company stock at a discounted price, usually within a certain time frame. It is a form of compensation that is designed to motivate and retain employees.

The Right to Purchase a Specific Number of Shares of Company