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In 2022, Reya exercised an incentive stock option that had been granted to her in 2019 by her employer, Weather Corporation. Reya acquired 100 shares

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In 2022, Reya exercised an incentive stock option that had been granted to her in 2019 by her employer, Weather Corporation. Reya acquired 100 shares of Weather stock for the option price of $190 per share. The rights in the stock become freely transferable and not subject to a substantial risk of forfeiture in 2022 . The fair market value of the stock at the date of exercise was $250 per share. Reya sells the stock for $340 per share in 2024 . If an amount is zero, enter "0". a. What is the amount of Reya's AMT adjustment in 2022 ? What is her recognized gain on the sale for regular tax and for AMT purposes in 2024? In 2022, Reya has a AMT adjustment of $ X. Her recognized gain on the sale for regular income tax is $ and $ X for AMT purposes. As a result, Reya has a AMT adjustment of x in 2024 Feedback v Check My Work Incentive stock options (ISOs) are granted by employers to help attract new personnel and retain those already employed. At the time an ISO is granted, the employer corporation sets an option price for the corporate stock. If the value of the stock increases during the option period, the employee can obtain stock at a favorable price by exercising the option. b. How would your answers in (a) change if Reya had sold the stock in 2022 rather than 2024 ? Reya would have a $ AMT adjustment is required in 2022. For regular tax purposes, Reya would recognize X of ordinary/compensation income and a $ X short-term capital gain

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