Asked by Samende Kamana on Jul 18, 2024

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Which of the following is an arrangement in which the organization distributes shares of stock to all its employees by placing it in a trust?

A) stock options
B) employee stock ownership plan
C) Scanlon plan
D) collective stock options
E) profit-sharing plan

Employee Stock Ownership Plan

A program that provides a company's workforce with an ownership interest in the company, usually in the form of stock options or shares.

Stock Options

Financial instruments that give an employee the right to buy or sell the company's stock at a predetermined price within a specific period.

Scanlon Plan

A participative management approach that focuses on improving productivity and sharing the resulting cost savings with employees.

  • Understand the different types of incentive pay programs and their objectives.
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ML
Makenna LambrechtJul 22, 2024
Final Answer :
B
Explanation :
An employee stock ownership plan (ESOP) is an arrangement in which the organization distributes shares of stock to all its employees by placing it in a trust. Therefore, option B is the best choice. The other options listed are different types of employee incentive plans, but do not involve the distribution of actual stock.