Gans Incorporated developed a business strategy that uses stock options as a major compensation incentive for its top executives. On January $1,2024,20$ million options were granted, each giving the executive owning them the right to acquire five $$1$ par common shares. The exercise price is the market price on the grant date$$$$10$ per share. Options vest on January $1,2028.$ They cannot be exercised before that date and will expire on December $31,2030.$ The fair value of the $20$ million options, estimated by an appropriate option pricing model, is $$40$ per option. Ignore income tax.

On March $1,2028,$ when the market price of Gans Incorporated's stock was $$14$ per share, $3$ million of the options were exercised. The journal entry to record this would include: