Based on the stock's price in 2020, the employee will most likely not bother to exercise the options.
<h3>When are options exercised?</h3>
Options are exercised by employees or other parties when the market price of the underlying stock is more than the price that the option can be redeemed at because this would lead to profit.
The underlying stock here is trading at $40 which is less than the price of redeeming the option so the employee will not exercise the options.
Find out more on exercising options at brainly.com/question/25750529
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Answer:
D) rebalancing
Explanation:
Rebalancing in domain of marketing can be regarded as a process involving realiigment of weighting of portfolio of particular asset. It involves activities such as buying or even selling of asset in portfolio so that desired allocation/ risk is been maintaned. It should be noted that When market conditions are such that a passively managed portfolio no longer meets its target allocation, the tool most commonly used to rectify the situation is rebalancing.
Answer:
E. b and c is the correct answer.
Explanation:
