What is the full form of "ESOP"?

A. Efficient Sales Order Plan

B. Executive Support of Profit

C. Employee Stock Ownership Plan

D. Executive Sales Order Policy

Answer: Option C

Solution(By Examveda Team)

An employee stock ownership plan (ESOP) is an employee benefit plan that gives workers ownership interest in the company. ESOPs give the sponsoring company, the selling shareholder, and participants receive various tax benefits, making them qualified plans. Companies often use ESOPs as a corporate-finance strategy to align the interests of their employees with those of their shareholders.