Calculations and Short Answers

Note: Show your work on problems where calculations are required for partial credit.

(10 points) On 5/10/22, Krystal, CFO of Seaboards, Inc., is granted 1,000 Incentive Stock Options (ISOs) at an exercise price of $50 (when FM=$50). On 6/12/23, Krystal exercises all of the options when the price of the stock is $75. Krystal subsequently sells the stock at $90 on 9/27/25.

What are her tax consequences (W-2 Income, AMT adjustments, capital gains) related to the following dates?

Note: In the answer you can click "Insert Table" button to use the tool to create a 4 x 6 row table if easier similar to the one below with the same column and row headers and enter answers in your table when applicable.

• Grant Date
• Exercise Date
• Sale Date

What are her tax consequences (W-2 Income, AMT adjustments, capital gains) related to the following dates?