Question
56 million stock options to purchase $1 par common shares were granted on January 1, 2021. The exercise price is $9 and the fair value
56 million stock options to purchase $1 par common shares were granted on January 1, 2021. The exercise price is $9 and the fair value is $1. Options vest on January 1, 2023, and expire December 31, 2027. Required: 1. Calculate total compensation cost. 2. to 5. Record compensation expense on December 31, 2021 and 2022. Also record the exercise of 75% of the options on March 12, 2023, when the market price is $10 per share, and the entry on December 31, 2027, when the remaining options expire. Complete this question by entering your answers in the tabs below. Req 1 Req 2 to 5 Determine the total compensation cost pertaining to the incentive stock option plan. (Enter your answer in millions (i.e., 10,000,000 should be entered as 10).). Total compensation cost million
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