CUET Preparation Today
| Assertion: Under stock option schemes, employees are offered company shares at a set price which is lower than market price. These schemes act as a positive motivator for employees.
Reasoning: The allotment of shares creates a feeling of ownership to the employees. |
Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A. Both Assertion (A) and reasoning (R) are correct and but R is not the correct explanation of A. Assertion (A) is true but Reasoning (R) is not correct. Assertion (A) is not true but Reasoning (R) is correct. |
| Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A. |
| Co-partnership/ Stock option: Under these incentive schemes, employees are offered company shares at a set price which is lower than market price. Sometimes, management may allot shares in lieu of various incentives payable in cash. The allotment of shares creates a feeling of ownership to the employees and makes them to contribute for the growth of the organisation. |
