Orange Incorporated issued 20,000 nonqualified stock options valued at $40,000 (in total). The options vest over two years—half in 2022 (the year of issue) and half in 2023. One thousand options are exercised in 2023 with a bargain element on each option of $6. What is the 2023 book–tax difference associated with the stock options?
Group of answer choices
$14,000 unfavorable
$6,000 favorable
$24,000 unfavorable
$24,000 favorable
None of the choices is correct.