1. The granting of stock options to employees as a form of compensation generally does not require the recognition of compensation expense by the company granting the stock options. True or False
2. A company that has no long-term debt (only current liabilities) will have a financial leverage ratio of 1.0. True or False
3. A deep discount bond that pays no interest payments is referred to as a(n) _____ bond.
A. municipal B. bearer C. zero coupon D. interest-free