Please answer the following 10 questions. This quiz is also a course of study. The answer key links to content on the topic for follow-up reading.

After you leave a company, what can happen to unvested stock options, and how long might you have to exercise stock options before expiration? Which of the following can senior executives not use to exercise stock options?

What is the holding period requirement for obtaining the favorable tax treatment available to incentive stock options? How will you know for certain that your unexercised options will soon expire? Comments on this exam? All of our quizzes are also available through our custom stock plan sites and as part of our content licensing to companies. We can even customize our quizzes to fit your stock plans.

This makes the quizzes a useful tool for education and communications when you award new grants, switch from options to restricted stock, or near a major vesting date. For details of our corporate services and licensing , email sales mystockoptions. Each course features articles, FAQs, and podcasts, woven into an interactive learning tool that teaches the topics in a memorable way. The answer key for each exam also links to relevant content on myStockOptions. Stock Options Quiz Test your basic knowledge of stock options.

The answer key links to content on the topic for follow-up reading Skip the quiz and view the answers. What is an employee stock option?

An option to be paid in stock instead of cash. A right to buy company stock at a guaranteed discount for a fixed term. A right to buy company stock at a specified price for a fixed term. A grant of company stock as a salary bonus. Which order of events is accurate for most stock options? How long is the term of most stock option grants? As long as you are employed at the company. Depends on the reason for leaving the company.

All unvested options are forfeited; you have no time to exercise them, as they expire when you leave the company. Vesting continues, and you have until the end of the option term to exercise.

Any of the above. You need to check your stock plan and grant agreement for the treatment of unvested stock options and the post-termination exercise period. Which can you not use to exercise stock options?

Shares from a k. Vested shares of restricted stock. A stock swap with company stock you already own. A loan from the company.

Stock Options Quiz - bozunoteyuta.web.fc2.com

Shares of company stock bought on the open market. When are NQSOs taxed? One year from the date of grant.

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One year from the date of exercise. One year from the date of grant and one year from the date of exercise. Two years from the date of grant and one year from the date of exercise. You are close to mandatory retirement age.

Your company notifies you in writing. Your company's broker notifies you by email with the exercise forms.

None of the above. It's your responsibility to check your grant agreement and understand the stock plan rules. The content is provided as an educational resource. Please do not copy or excerpt this information without the express permission of myStockOptions.