Stevie Recently Received 1,000 Shares of Restricted Stock from Her

question 90

Multiple Choice

Stevie recently received 1,000 shares of restricted stock from her employer, Nicks Corporation, when the share price was $8 per share. Stevie's restricted shares vested three years later when the market price was $11. Stevie held the shares for a little more than a year and sold them when the market price was $16. What is the amount of Stevie's ordinary income with respect to the restricted stock?

• A)$0
• B)$5,000
• C)$8,000
• D)$11,000

---

Definitions:

Adjourning

The final stage of group development where the group completes its task, dissolves, and members move on to other activities or groups.

Bruce Tuckman

An American psychological researcher known for his model on the stages of group development.

Reciprocal

Involving mutual actions or relationships where two parties give and take equivalently.

Tuckman's Model

A theory of group development presented by Bruce Tuckman, outlining stages teams typically go through: forming, storming, norming, performing, and adjourning.