A Number of Companies Were Accused of "Backdating" Executive Stock

Multiple Choice

A number of companies were accused of "backdating" executive stock options in the 2000s. Backdating is the procedure by which companies chose the date on which the stock was was most favorable (i.e., at its lowest) to act as the putative start date of the option grant. By permitting backdating, companies were essentially giving their executives a form of a

A) Cliquet option.
B) Shout option.
C) Floating-strike lookback option.
D) Fixed-strike lookback option.