Vanstone Corp., a public company, adopted a stock option plan on November 30, 2020, that designated 70,000 common shares as available for the granting of options to officers of the corporation at an exercise price of $8 a share. The market value was $12 a share on November 30, 2020. 

On January 2, 2021, options to purchase 28,000 shares were granted to President Don Pedro: 15,000 for services to be rendered in 2021, and 13,000 for services to be rendered in 2022. Also on that date, options to purchase 14,000 shares were granted to Vice-President Beatrice Leonato: 7,000 for services to be rendered in 2021, and 7,000 for services to be rendered in 2022. The shares' market value was $14 a share on January 2, 2021. The options were exercisable for a period of one year following the year in which the services were rendered. On January 2, 2021, the value of the options was estimated at $400,000. 

In 2022, neither the president nor the vice-president exercised their options because the shares' market price was below the exercise price. The shares' market value was $7 a share on December 31, 2022, when the options for 2021 services lapsed. 

On December 31, 2023, both the president and vice-president exercised their options for 13,000 and 7,000 shares, respectively, when the market price was $16 a share. The company's year end is December 31. 

Instructions 

Prepare the necessary journal entries in 2020 when the stock option plan was adopted, in 2021 when the options were granted, in 2022 when the options lapsed, and in 2023 when the options were exercised. Round to the nearest dollar.