In March 2017, Serengeti exercised an ISO that had been granted by his employer, Thunder Corporation, in

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In March 2017, Serengeti exercised an ISO that had been granted by his employer, Thunder Corporation, in December 2014. Serengeti acquired 5,000 shares of Thunder stock with a strike price of $65 per share. The fair market value of the stock at the date of exercise was $90 per share. Determine Serengeti’s AMT adjustment related to these events:

a. For 2014.

b. For 2017.

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South-Western Federal Taxation 2018 Comprehensive

ISBN: 9781337386005

41st Edition

Authors: David M. Maloney, William H. Hoffman, Jr., William A. Raabe, James C. Young

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