E connect ACCOUNTING Ch. 19 Test value 0.00 points MC Qu. 44 LO 19-02 Wall Drugs offered an incentive stock option plan... Wall Drugs offered an incentive stock option plan to its employees. On January 1, 2016, options were granted for eighty-four thousand $1 par common shares. The exercise price equals the $4 market price of the common stock on the grant date. The options cannot be exercised before January 1, 2019, and expire December 31, 2020. Each option has a tair value of $1 based on an option pricing model. Which is the correct entry to record compensation expense for the year 2016? Compensation expense 16,800 Paid-in capital-stock options 16.800 Compensation expense 28,000 Common stock 8,000 Compensation expense 112,000 Paid-in capital-stock options 112.000 28,000 Paid-in capital-stock options 28,000 Mutiple Choice Md au 441 optoa an 10 wa lugs oferere an incentio MD TOSHIBA esc