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Options are less than perfect as instruments to induce better performance becaus

ID: 1235992 • Letter: O

Question

Options are less than perfect as instruments to induce better performance because:Answer they are most often backdated. they are independent of market volatility. more than 90 percent of options expire worthless. executives often take risky decisions to raise the value of their options. they are most often backdated. they are independent of market volatility. more than 90 percent of options expire worthless. executives often take risky decisions to raise the value of their options. they are most often backdated. they are independent of market volatility. more than 90 percent of options expire worthless. executives often take risky decisions to raise the value of their options.

Explanation / Answer

they are most often backdated.

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