On January $1,2024,$ Adams$-$Meneke Corporavon granted $20$ million incentive stock options to division managers, each permituing holders to purchase one share of the company's $$1$ par common shares within the next stx years, but not before December $31,2026($the vesting date$).$

The exercise price is the market price of the shares on the date of grant, currently $$48$ per share.

The fair value of the options, estimated by an appropriate option pricing model, is $$3$ per option.

Management's policy is to estimate forfeltures.

No forfeltures are anticipated.

Ignore toxes.

Required:

Determine the total compensation cost pertaining to the options on January $1,2024$

Prepare the appropriate journal entry to record compensation expense on Decemberr $31,2024$

Unexpected turnover during $2025$ caused an estimate of the forfelture of $5\%$ of the stock options. Prepare the appropriate Journal entry$($s$)$ on December $31,2025$ and $2026$ in response to the new estimate.

Answer is complete but not entirely correct.

Complete this question by entering your answers in the tabs below.

Required $1$

Reg$$fred $2$

Prepare the approprate joumal entry to record compensation expense on December $31,2024.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in millions rounded to $1$ decimal place $(1.$e$.,5,500,000$ should be entered as $5\mathrm{.}5).$

$\backslash$table$[[$No$,$Date,General Joumal,Debit,Credit$],[1,$December $31,202,$Compensation expense,$20,000,000,],[,$Paid$-$in capital $-$ stock options,,$20,000,000,]]$