Maren Received 10 NQOs (Each Option Gives Her the Right

question 47

Multiple Choice

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) $900.
• B) $700.
• C) $0.
• D) $1,500.
• E) None of the choices are correct.

---

Definitions:

Nonshared Environment

The unique environmental factors that are experienced differently by individuals within the same family, contributing to differences among siblings.

Shared Environment

Environmental factors that contribute to sibling similarities, including family background and childhood experiences.

Genetics

The examination of genetic inheritance and the differences in traits passed down through generations.

Gene Expression

How much a gene influences traits or outcomes.