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Help Heidi Software Corporation provides a variety of share-based compensation plans to its employees. Under its executive stock option plan, the company granted options on

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Help Heidi Software Corporation provides a variety of share-based compensation plans to its employees. Under its executive stock option plan, the company granted options on January 1, 2021, that permit executives to acquire 4 million of the company's $1 par common shares within the next five years, but not before December 31, 2022 (the vesting date). The exercise price is the market price of the shares on the date of grant, $14 per share. The fair value of the 4 million options, estimated by an appropriate option pricing model, is $3 per option. No forfeitures are anticipated. Ignore taxes. Required: 1. Determine the total compensation cost pertaining to the options. 2. Prepare the appropriate journal entry to record the award of options on January 1, 2021 3. Prepare the appropriate journal entry to record compensation expense on December 31, 2021. 4. Prepare the appropriate journal entry to record compensation expense on December 31, 2022. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 4 Determine the total compensation cost pertaining to the options. (Enter your answer in millions (.e., 10,000,000 should be entered as 10).) Tout compensation million Reg 2 to 4 ) red: cermine the total compensation cost pertaining to the options. epare the appropriate journal entry to record the award of options on January 1, 2021. epare the appropriate journal entry to record compensation expense on December 31, 2021. epare the appropriate journal entry to record compensation expense on December 31, 2022. complete this question by entering your answers in the tabs below. Req 1 Reg 2 to 4 repare the appropriate journal entries. (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Enter your answers in millions (I.e., 10,000,000 should be entered as 10).) Vlow transaction fint Journal entry worksheet 1 2 Record the award of options on January 1, 2021. Note Enter debits before credits General Journal Dab Crean Date January 01, 2021 ired: termine the total compensation cost pertaining to the options. epare the appropriate journal entry to record the award of options on January 1, 2021. epare the appropriate journal entry to record compensation expense on December 31, 2021. Fepare the appropriate journal entry to record compensation expense on December 31, 2022. Complete this question by entering your answers in the tabs below. Reg 1 Req 2 to 4 Prepare the appropriate journal entries. (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet

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