In $2024,$ Reya exercised an incentive stock option that had been granted to her in $2021$ by her employer, Weather Corporation. Reya acquired $100$ shares of Weather stock for the option price of $$190$ per share. The rights in the stock become freely transferable and not subject to a substantial risk of forfeiture in $2024.$ The fair market value of the stock at the date of exercise was $$250$ per share. Reya sells the stock for $$340$ per share in $2026.$

If an amount is zero, enter $"0".$

a$.$ What is the amount of Reya's AMT adjustment in $2024?$ What is her recognized gain on the sale for regular tax and for AMT purposes in $2026?$

In $2024,$ Reya has a $$ AMT adjustment of : $$ Her recognized gain on the sale for regular income tax is $ $$ and $ $$ for AMT purposes. As a result, Reya has a $$ AMT adjustment of

$$ in $2026.$

b$.$ How would your answers in $($a$)$ change if Reya had sold the stock in $2024$ rather than $2026?$

Reya would have a $ $$ AMT adjustment in $2024.$ For regular tax purposes, Reya would recognize $ $$ of ordinary$/$compensation income and a $ $$ short$-$term capital gain.

In $2024,$ Reya exercised an incentive stock option that had been granted to her in $2021$ by her employer, Weather Corporation. Reya acquired $100$ shares of Weather stock for the option price of $$190$ per share. The rights in the stock become freely transferable and not subject to a substantial risk of forfeiture in $2024.$ The fair market value of the stock at the date of exercise was $$250$ per share. Reya sells the stock for $$340$ per share in $2026.$

If an amount is zero, enter $"0".$

a$.$ What is the amount of Reya's AMT adjustment in $2024?$ What is her recognized gain on the sale for regular tax and for AMT purposes in $2026?$

In $2024,$ Reya has a $$ AMT adjustment of : $-$ Her recognized gain on the sale for regular income tax is $ $$ and $ $$ for AMT purposes. As a result, Reya has a $$ AMT adjustment of

$$ in $2026.$

b$.$ How would your answers in $($a$)$ change if Reya had sold the stock in $2024$ rather than $2026?$

Reya would have a $ $$ AMT adjustment in $2024.$ For regular tax purposes, Reya would recognize $ $$ of ordinary$/$compensation income and a $ $$ short$-$term capital gain.

In $2024,$ Reya exercised an incentive stock option that had been granted to her in $2021$ by her employer, Weather Corporation. Reya acquired $100$ shares of Weather stock for the option price of $$190$ per share. The rights in the stock become freely transferable and not subject to a substantial risk of forfeiture in $2024.$ The fair market value of the stock at the date of exercise was $$250$ per share. Reya sells the stock for $$340$ per share in $2026.$

If an amount is zero, enter $"0".$

a$.$ What is the amount of Reya's AMT adjustment in $2024?$ What is her recognized gain on the sale for regular tax and for AMT purposes in $2026?$

In $2024,$ Reya has a $$ AMT adjustment of : $-$ Her recognized gain on the sale for regular income tax is $ $$ and $ $$ for AMT purposes. As a result, Reya has a $$ AMT adjustment of

$$ in $2026.$

b$.$ How would your answers in $($a$)$ change if Reya had sold the stock in $2024$ rather than $2026?$

Reya would have a $ $$ AMT adjustment in $2024.$ For regular tax purposes, Reya would recognize $ $$ of ordinary$/$compensation income and a $ $$ short$-$term capital gain.