On January 1, 2016 GT Financial Corporation granted 50,000 options to key executives. Each option allows the executive to purchase one share of Hookers $1 par value common stock at a price of $58 per share. The options were exercisable within a 2 year period beginning January 1, 2018, if the grantee is still employed by the company at the time of the exercise. One the grant date, Hookers stock was trading at $50 per share, and a fair value option-pricing model determines total compensation to be $600,000. On July 1, 2018, 35,000 options were exercised when the market price of Hookers stock was $65 per share. The remaining options lapsed on December 31, 2019 because executives decided not to exercise their options. Instructions

Prepare the necessary journal entries related to the stock option plan for the years 2016 through 2019.