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Showing 1 to 1 of 1 for “"Executive conpensation"”.
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The Determinants and Consequences of CEO Cheap Stock in IPOs
<p>The term "cheap stock" describes undervalued stock options granted to CEOs and other key employees prior to initial public offerings (IPOs). Pre-IPO firms have incentives to issue cheap stock as compensation because it results in lower compensation expense on the income statement and in large …