On January 1 of Year 1, the company granted 5,000 stock options to executives. Each option entitles the holder to purchase one share of the company's $5 par value common stock at $50 per share at any time during the next 5 years. The market price of the stock is $65 per share on the date of grant. The fair value of the options at the grant date is $150,000. The period of benefit is 2 years. Part 1: Prepare the journal entries for January 1 of Year 1 Part 2: Prepare the journal entries for December 31 of Year 1 Part 3: Prepare the journal entry for December 31 of Year 2