Restricted stock options limit an investor’s ability to sell shares, with a vesting period that can last several years. Restricted stock grants are smaller than stock option grants and are best for stocks with static or declining prices. Non-compliance with restrictions results in a loss of vested stock rights. Restricted stock is any type of […]
A restricted asset can only be used for a specific purpose, with contractual or legal consequences if not followed. Restrictions can be permanent or temporary, and special accounting procedures are needed. Educational and non-profit institutions commonly accept restricted assets, and they are included in a separate section of financial statements. Municipal bonds and wills can […]
Restricted funds are assets or income set aside for a specific purpose and cannot be used for any other project. Donors create funds to launch projects, and scholarships, charities, and non-profits benefit from them. Restricted funds allow donors to support something of personal importance and can finance various projects. Restricted funds are any type of […]
