Ms. Joan Hanson is an employee of a Canadian controlled private corporation. During 2018, she receives options to purchase 500 shares of her employers common stock at a price of $22 per share. At this time, the estimated per share value of the stock is $20.50. During 2019, she exercises all of these options. At this time, the estimated market value of the stock is $31.50 per share. On December 1, 2019, she sells the stock for $38.75 per share. The net effect of the 2019 transactions on her Taxable Income would be:

		An increase of $1,812.50.
		An increase of $2,375.00.
		An increase of $4,187.50.
		An increase of $4,750.00.
		An increase of $6,562.50.