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On 1 of January 2013 ABC company announced Stock options for the CFO at the price of $25 a share - 1000 shares. The excersise

On 1 of January 2013 ABC company announced Stock options for the CFO at the price of $25 a share - 1000 shares. The excersise time is from January 2013 till January 2015. Answer the following questions in details;

1. These are NSO and he buys them on March 2014 when the marker price is $30 a share and sells them in 2016 at $40 a share. What are the tax consequences for CFO and for the ABC Co.

2. These are ISO and he buys them on March 2014 when the marker price is $30 a share and sells them in 2016 at $40 a share. What are the tax consequences for CFO and for the ABC Co.

3 These are ISO and he buys them on March 2014 when the marker price is $30 a share and sells them in June 2014 at $40 a share. What are the tax consequences for CFO and for the ABC Co.

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