As part of its stock-based compensation package, Runnels Company granted 10 million stock appreciation rights (SARs) to top officers on January 1, 2021. At exercise, holders of the SARS are entitled to receive cash equal in value to the excess of the market price at exercise over the share price at the date of grant. The SARS cannot be exercised until the end of 2024 (vesting date) an expire at the end of 2026. Recipients are expected to remain employed through the vesting date. The fair value of the SARS, estimated by an appropriate option pricing model is so per SAR at December 31, 2021. If the fair value was re-estimated at December 31, 2022 to be 59. the compensation expense for 2022 was: $15 million 530 million $225 million 523.7 million