nterpreting Disclosure on Employee Stock Options Intel Corporation reported the following in its 2010 10-K report. Share-Based Compensation Share-based compensation recognized in 2010 was $917 million ($889 million in 2009 and $851 million in 2008). . . . During 2010, the tax benefit that we realized for the tax deduction from share-based awards totaled $266 million ($119 million in 2009 and $147 million in 2008). . . . We use the Black-Scholes option pricing model to estimate the fair value of options granted under our equity incentive plans and rights to acquire stock granted under our stock purchase plan. We based the weighted average estimated values of employee stock option grants (excluding stock option grants in connection with the Option Exchange in 2009) and rights granted under the stock purchase plan, as well as the weighted average assumptions used in calculating these values, on estimates at the date of grant, as follows:

1) What did Intel expense for share-based compensation for 2010? How many options did Intel grant in 2010?

2) Compute the fair value of all options granted during 2010. (Round your answer to one decimal place.)

3. How many options were exercised during 2010?

3) Estimate the cash that Intel received from its employees when these options were exercised?

4)what was the intrinsic value per share of options exercised in 2010?

5)If employees who exercised option in 2010 immediately sold them what profit did they make from the shares?

6) The tax benefit that Intel will receive on the options exercised is computed based on the intrinsic value of the options exercised. Estimate Intel's tax benefit from the 2010 option exercises assuming a tax rate of 37%. (Round your answer to one decimal place.)

7. What was the average exercise price of the options that expired in 2010?