Question: Jayden has been employed for many years by a CCPC. Several years ago, they were granted options to acquire 5,000 shares of their employer for

Jayden has been employed for many years by a CCPC. Several years ago, they were granted options to acquire 5,000 shares of their employer for $10 per share. At that time, the FMV of the shares was $8 per share. On July 15, 2023, Jayden exercises all of these options. At this time, the FMV of the shares is $15 per share. In February 2024, they sell all of the shares for $20 per share. Calculate the effect of the transactions that took place during 2023 and 2024 on Jayden's net income and taxable income. (10 points)

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