Mr. John Savage has been employed for many years by a Canadian public company. Several years ago, Mr Savage was granted options to acquire 4,000 shares of his employer's stock for $54 per share. At this time, the shares have a fair market value of $50 per share. On July 15, 2019, Mr. Savage exercises all of these options. At this time, the fair market value of the shares is $82 per share. In February, 2020, he sells all of shares for $97 per share. Calculate the effect of the transactions that took place during 2019 and 2020 on M Savage's Net Income For Tax Purposes and Taxable Income. Where relevant identify these effects separately