The average option price per share and market price per share at time of grant is equal each year ($44.69 for Year 2, $49.67 for Year 3, and $41.63 for Year 4). Discuss why Coca-Cola structured the stock option grants this way each year.
The reason why Coca-Cola structured their stock options as they did was to encourage employees not to sell their options.
Why did Coca-Cola issue options at close to market price?
When options are redeemed and sold, it works to decrease the price of stock thanks to the increased supply of stock in the market.
Coca-Cola therefore granted their options at close to market value so that employees would be encouraged to hold their stock options instead of redeeming them and decrease share price.
Find out more on granting options at https://brainly.com/question/13573990.
