Question
Earnings before tax is $2,000. During the year employees exercised 100 options. Each option had a fair value on date of grant of $3 and
Earnings before tax is $2,000. During the year employees exercised 100 options. Each option had a fair value on date of
grant of $3 and an exercise price of $8. The fair value of the stock on the date of exercise is $18. Determine the firms effective
tax rate for the year
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Finance And Accounting For Nonfinancial Managers
Authors: Steven A. Finkler
5th Edition
9780808046905
