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QUESTION 8 The following information is for questions seven through nine. In 2010, CSUEB granted an incentive stock option (ISO) to Guillermo Jess Montaez to
QUESTION 8 The following information is for questions seven through nine. In 2010, CSUEB granted an incentive stock option (ISO) to Guillermo Jess Montaez to buy 10,000 shares of CSUEB stock at $10 per share for 10 years. At date of grant, CSUEB stock was trading on the Pyongyang Stock Exchange for $9.00 per share. CSUEB recorded $25,000 compensation expense for the estimated value of the option on its income statement. In 2019, Guillermo Jess Montaez exercised the option when CSUEB's stock was trading at $25 per share. Compute Guillermo Montaez's basis in the 10,000 shares. O, A. SO 8. $90,000 C. $100,000 D. $150,000 E. $250,000
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