Respuesta :
The compensation expense resulting from compensatory employee stock option plan is allocated to periods benefited by employee's required service.
What is an employee stock option?
Employer-employee compensation agreements that have some aspects of financial options are referred to as employee stock options (ESOs). Employee stock options are typically seen as an internal arrangement that gives employees the opportunity to participate in the company's share capital as part of their compensation. ESOs are compensation contracts, according to regulators and economists. These unusual agreements between an employee and an employer mandate that, in the event that and when an employee exercises his or her stock options, the employer must provide a specific amount of shares of employer stock. Depending on the company and the employee's present job situation, the contract's length and terms can alter.
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