1.The following activities occurred for the NNN Company:

11/30/16Adopted a stock-option plan that provided that 70,000 shares of $5 par value stock be designated as available for the granting of options to officers of the corporation at a price of $9 per share. The market price was $12 per share on 11/30/16.

1/2/17Options to purchase 28,000 shares were granted to the president as follows:

15,000 shares for services to be rendered in 2017

13,000 shares for services to be rendered in 2018

Options to purchase 14,000 shares were granted to the vice president as follows:

7,000 shares for services to be rendered in 2017

7,000 shares for services to be rendered in 2018

The market price of the stock was $14 per share. The options were exercisable for a period of one year following the year in which the services were rendered. The fair value of the options on the grant date (1/2/17) was $4 per option.

2018During 2018, neither the president nor the vice president exercised their options because the market price of the stock was below the exercise price.

12/31/18The market price of the stock was $8 per share on 12/31/18, when the options for 2017 lapsed.

12/31/19Both the president and vice president exercised their options for 13,000 and 7,000 shares, respectively, when the market price was $16 per share.

Using the attached T-account template:

Prepare the necessary entries, if any, to recognize the following:

a.2016 stock option plan adoption

b.2017 stock options granted

c.2018 stock options lapsed

d.2019 stock options exercised

Label your entry(ies) with the year and an entry number. For example, if there are two entries in 2018, label the first one "2018-1" and the second entries "2018-2"