Employee Ownership Month Quiz 3: How ESOPs Work

Hint: Many answers can be found at: ESOPAssociation.org.

When you complete the survey, hit the Done button and you will be directed to a special page on The ESOP Association website for links to more information.

Question Title

* 1. ESOPs are required by law to establish the value of company shares

At least every six months

At least every five years

At least once a year

At least every two years

None of the Above

Question Title

* 2. The date on which all ESOPs must perform the valuation of company shares is

January 1

December 31

April 15

Tied to the end of the ESOP plan year

Question Title

* 3. The ESOP Trustee....

Is required to operate the trust in the interests of the shareholders—the employees

Is obligated to oversee the activities of the Board

May be personally sued for failing to uphold the obligations of a fiduciary

May be a staff member of the company or an external party

All of the above

Question Title

* 4. Typically, as a company pays down its ESOP loan, the value of its shares will

Decrease

Increase

Stay the Same

All of the above, in the order listed.