Which of the Following Describes the Correct Treatment of Incentive

question 46

Multiple Choice

Which of the following describes the correct treatment of incentive stock options (ISOs) ?

• A)Financial accounting-no expense; tax-no deduction.
• B)Financial accounting-no expense; tax-deduct bargain element at exercise.
• C)Financial accounting-expense value over vesting period; tax-no deduction.
• D)Financial accounting-expense value over vesting period; tax-deduct bargain element at exercise.