On January 1, Year 1, Tec Corporation grants share appreciation rights to its CEO. Under the plan, the CEO will receive cash for the difference between the quoted market price and a $40 option price for 2,000 shares of the company's common stock on the exercise date. The service period is 4 years. The fair value per SAR is $10 at the end of Year 1 and $30 at the end of Year 2. The compensation expense for Year 2 would be Oa. $11,000. O b. $39,000. Oc. 99,000. Od. $30,000.