Che Problem 19-2 Stock options; graded vesting [LO19-2 Pastner Brands is a calendar-year firm with operations in several countries. As part of its executive compensation plan at an ay 2018, the company issued 400,000 executive stock options permitting executives to buy 400,000 shares of Pastner stock for $34 per share. One-fourth of the options vest in each of the next four years beginning at December 31, 2018 (graded vesting). Pastner elects to separate the total award into four groups (or tranches) according to the year in which they vest and measures the compensation cost for each vesting date as a separate award. The fair value of each tranche is estimated at January 1. 2018, as follows Vesting Date Amount Vestingper Opti Fair Value Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 Dec. 31, 2021 25% 25% 25% 25% $3.50 $4.00 $4.50 $5.00 Required 1. Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner allocates the compensation cost for each of the four groups (tranches) separately 2. Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner uses the straight-line method to allocate the total compensation cost Complete this auestion bv enterina vour answers in the tabs below. Prey 1 of 4B Next Complete this question by entering your answers in the tabs below Required 1 Required 2 Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner allocates the compensation cost for each of the four groups (tranches) separately. (Enter your answers in thousands.) Shares Vesting at: Dec. 31, 2018 Dec. 31, 2019 Dec 31, 2020 Dec 31, 2021 Compensation Expense in: 2020 Total 2018 2019 2021 Total Required 2> Complete this question by entering your answers in the tabs below Required 1Required 2 Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner uses the straight-line method to allocate the total compensation cost. (Enter your answers in whole dollars.) Total 2018 2021 2017 2020 Compensation expense