QUESTION 5: EXPLAIN HOW EACH OF THE LEADERSHIP THEORY CLASSIFICATIONAPPLIES TO THIS CASE, AND WHICH ONE IS THE MOST RELEVANT?
A leadership theory is a description of a particular aspect of leadership; theories are useful because they can be
used to better understand, anticipate, and influence effective leadership. The attributes and behaviors that people
should adopt to improve their leadership abilities are the subjects of leadership theory classifications,

Ronald sees that his employer's stock has grown from $20 a share to $60 a share this year, while most stocks have seen only 5% growth. his employer offers to let him convert a large portion of his salary into stock options. what is not a valid reason to turn down the stock offer? a)stocks with high returns have high volatility, and ronald's company may not grow further. b)ronald may be taxed more for capital gains than he would be for employment income. c)stock options are illiquid, and ronald may not be able to use them to pay for unexpected bills. d)ronald would be committing stock fraud if he exercises the options.