Question
Orange Inc. issued 21,000 nonqualified stock options valued at $42,000 (in total). The options vest over two yearshalf in 2018 (the year of issue) and
Orange Inc. issued 21,000 nonqualified stock options valued at $42,000 (in total). The options vest over two yearshalf in 2018 (the year of issue) and half in 2019. One thousand options are exercised in 2019 with a bargain element on each option of $8. What is the 2019 book-tax difference associated with the stock options?
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Ethical Obligations and Decision Making in Accounting Text and Cases
Authors: Steven Mintz, Roselyn Morris
4th edition
978-1259543470, 1259543471, 978-1259730191
