Jessica exercised a nonstatutory stock option on August 6, 2018. She purchased 500 share of...
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Accounting
Jessica exercised a nonstatutory stock option on August 6, 2018. She purchased 500 share of her company's stock for 5,000. The fair market value of the of the stock at the time of purchase was 9,500.She included the 4,500 difference between the fiar market value and the purchase price as compensation income when she filed her 2018 return. What is Jessica basis in the underlying stock?
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