On January 1, 2013, Greene Company granted 90,000 stock options to certain executives. The options are exercisable no sooner than December 31, 2015, and expire on January 1, 2019. Each option can be exercised to acquire one share of $1 par common stock for $12. An option-pricing model estimates the fair value of the options to be $5 on the date of grant.

14. What amount should Greene recognize as compensation expense for 2013?

15. If unexpected turnover in 2014 caused the company to estimate that 10% of the options would be forfeited, what amount should Greene recognize as compensation expense for 2014?

b. Assume no additional forfeitures occurred in 2015: prepare the entry to record compensation expense for 2015.

Please include all dates and calculations for each part :)