On January 1, 2020, Sheridan Company established a stock appreciation rights plan for its executives. It entitled them to receive cash at any time during the next four years for the difference between the market price of its common stock and a pre-established price of $20 on 114000 SARS. Current market prices of the stock are as follows: January 1, 2020 December 31, 2020 December 31.2021 December 31, 2022 $36 per share 39 per share 31 per share 34 per share Compensation expense relating to the plan is to be recorded over a four-year period beginning January 1, 2020 What amount of compensation expense should Sheridan recognize for the year ended December 31, 2020? $432000 $541500 $2166000 O $342000