Ann: Sale of Shares by Directors to Institutional Investors, page-319

I would think I am wrong here, but is this roughly how PD would have faired re cashflow from exercise of options and then selling?

I feel it must be wrong that CGT is payable on the exercise of options, and you would then treat the sale of the exercise options as income? Otherwise PD would have been out of pocket.

So PD ended up $778,984 out of pocket exercising the options after paying CGT and selling, but holding $4.1mil worth of shares at $0.20?

Sorry if this is above, I didn't bother to scroll past the Ooger definition from the Urban dictionary.

	Number of Options exercised	40,999,162
1	Acusition Share Price	$0.02
2	Acquisition Cost	$819,983	<-- Cash Out
3	~SP at Acquisition	$0.26
4	Value at Acquisition	$10,659,782
5	CG Payable (45% tax bracket)	$2,213,955	<--Cash out
6
7	Shares sold	20,499,581
8	At Price	$0.20
9	Value	$4,099,916	<-- Cash In
10	Income tax?	$1,844,962	<-- Cash Out
11	Net after sale	$2,254,954
12
13	Net after sale - Acq cost - CGT payable	-778,984
14	Shares retained	$20,499,581
15	Value of shares at $0.20	$4,099,916
16	Value at $0.10	$2,049,958