You have received a grant of 2,000 NQSO shares. They vest on a graduated basis over a five-year period. The strike price was $10 per share. It is now three years since the grant and the current price is $20 per share. You decide to exercise on a cashless basis. (a) How many shares can you exercise? (b) What will be your pretax gain on the exercise? (c) How will the options be taxed? (d) Assume the price has increased only $0.50 since the grant. What financial reason would there be to exercise now?