Maren received 10 NQOs (each option gives her the right to purchase 10 shares of stock for $8 per share)at the time she started working when the stock price was $6 per share. When the share price was $15 per share, she exercised all of her options. Eighteen months later she sold all of the shares for $20 per share. What is the amount of Maren's bargain element?
A)$0
B)$700
C)$900
D)$1,500
E)None of the choices are correct.

Question

Quizplus · Accepted Answer

The Answer of Maren received 10 NQOs (each option gives her the right to purchase 10 shares of stock for $8 per share)at the time she started working when the stock price was $6 per share. When the share price was $15 per share, she exercised all of her options. Eighteen months later she sold all of the shares for $20 per share. What is the amount of Maren's bargain element?
A)$0
B)$700
C)$900
D)$1,500
E)None of the choices are correct.

Maren Received 10 NQOs (Each Option Gives Her the Right