You have been granted 100,000 stock options at a price of $15.00 per share. The options vest at 20% a year and it is the end of year 3 of the vesting period. You want to exercise as many options as possible and the stock is now selling for $32.00 per share. The gain you will have by exercising the options is:

The Blue Club has assets of $6 Million, current liabilities of $800,000, long-term debt of $2.2 Million and owners' equity equal to $3 million. Its leverage ratio is: