Murphy Bin Ltd. granted stock options to its executive employees. Each executive received options on 10,000 shares of stock 2 years ago at an exercise price of $12 per share. The options can be exercised today at the current market price of $34.14. How much will an executive's income be this year if his salary is $1,050,000 and he exercises all of his options today?

Question

Murphy Bin Ltd. granted stock options to its executive employees. Each executive received options on 10,000 shares of stock 2 years ago at an exercise price of $12 per share. The options can be exercised today at the current market price of $34.14.   How much will an executive's income be this year if his salary is $1,050,000 and he exercises all of his options today?

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The Answer of Murphy Bin Ltd. granted stock options to its executive employees. Each executive received options on 10,000 shares of stock 2 years ago at an exercise price of $12 per share. The options can be exercised today at the current market price of $34.14.   How much will an executive's income be this year if his salary is $1,050,000 and he exercises all of his options today?