Molly Co$.$ issued $80,000$ shares of stock on January $1$ for all of the outstanding shares of Coddle Co$.$ Molly also agreed to issue an additional $9,000$ shares to Coddle's shareholders if earnings reported for the year ended December $31$ exceeded $$1\mathrm{.}5$ million. This obligation to issue contingent consideration is properly classified as equity. Molly should

A$.$ Recognize the contingent consideration at an amount equal to the share price on January $1$ of the additional shares to be issued.

B$.$ Expense the fair value on December $31$ of the additional shares actually issued.

C$.$ Recognize the contingent consideration at its acquisition$-$date fair value.

D$.$ Recognize the contingent consideration at an amount equal to the fair value on December $31$ of the additional shares actually issued.