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A firm granted stock options to its eligible employees on January 1, with each employee able to purchase 15,000 shares of $10 par value common
A firm granted stock options to its eligible employees on January 1, with each employee able to purchase 15,000 shares of $10 par value common stock after two years at a price of $20. Using the Black-Scholes options pricing model, the firm estimated that the individual employee stock options had a total fair value of $75,000. If a production employee exercises 50% of her stock options in the first quarter of the eligible period, what is the balance in the additional paid-in capital-stock options account at the end of this period (assume all remaining stock options are eligible)? 0 $0 0 $37,500 credit o $75,000 credit O $112,500 credit
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