Antonio recelved $40$ ISOs $($each option gives him the right to purchase $20$ shares of Zorro stock for $$3$ per

share$)$ at the time he started working for Zorro Corporation six years ago. Zorro's stock price was $$3$ per

share at the time. Now that Zorro's stock price is $$50$ per share, Antonlo intends to exercise all of his

options and immediately sell all the shares he recelves from the options exercise.

Note: Enter all amounts as positlve values. Leave no answers blank. Enter zero If applicable.

Required:

a$.$ What are Antonio's taxes due on the grant date, the exercise date, and the date the shares are sold,

assuming his ordinary marginal rate is $32$ percent and his long$-$term capital gains rate is $15$ percent?

b$.$ What are Zorro's tax consequences on the grant date, the exercise date, and the date Antonio sells the

shares?

c$.$ What are the cash flow effects of these transactions to Antonio, assuming his ordinary marginal rate is $24$

percent and his long$-$term capital gains rate is $15$ percent?

d$.$ What are the cash flow effects to Zorro resulting from Antonio's option exercise?

Answer is complete but not entirely correct.

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What are the cash flow effects of these transactions to Antonio, assuming his ordinary marginal rate is $24$ percent and his

long$-$term capital gains rate is $15$ percent?

PLEASE ANSWER PART C AND D IN THE SAME FORMAT AS THE IMAGE PROVIDED