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On January 1 , 2 0 2 4 , Bonita Corporation granted 1 0 , 0 0 0 options to key executives. Each option allows
On January Bonita Corporation granted options to key executives. Each option allows the executive to
purchase one share of Bonita's $ par value common stock at a price of $ per share. The options were exercisable
within a year period beginning January if the grantee is still employed by the company at the time of the
exercise. On the grant date, Bonita's stock was trading at $ per share, and a fair value optionpricing model
determines total compensation to be $
On May options were exercised when the market price of Bonita's stock was $ per share. The
remaining options lapsed in because executives decided not to exercise their options.
Prepare the necessary journal entries related to the stock option plan for the years through List all
debit entries before credit entries. Credit account titles are automatically indented when amount is
entered. Do not indent manually. If no entry is required, select No Entry for the account titles and
enter for the amounts. Record entries in the order displayed in the problem statement.
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