The presentation of the excess tax benefits related to stock options includes all of the following except:

Multiple Choice

• Presentation of excess tax benefits is guided by ASU 2016-09.

• Excess tax benefits must be shown in both the statement of shareholders equity and the statement of cash flows.

• Excess tax benefits are reflected in the cash from financing activities section of the statement of cash flows.

• Excess tax benefits are shown as a reduction of income tax expense.