28

docx

School

CUNY Borough of Manhattan Community College *

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Course

330

Subject

Finance

Date

Jan 9, 2024

Type

docx

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1

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Question 28 0 out of 1 points On December 17, 2023, ABC Corp granted 20,000 to its employee Amy. No other options were granted that year. The exercise price was $10. The fair market value of the stock was $10. The options were intended to be ISO. Which statement best describes the issuance? Selected Answer: Answer Q1 Al of the options will be treated as non-qualified stock option. 1. Al of the options will be treated as non-qualified stock option. @2 Ifthe company restricted the option exercise and they vest over two or more years all of the options will be treated as ISO. 3. Al of the options will be treated as incentive stock options. 4. More information is needed. 5. Ifthe company restricted the option exercise and they vest over two or more years all of the options will be treated as non- qualified stock options.
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