On July 1, 2017, Amos Corporation granted nontransferable, nonqualified stock options to certain key employees as additional compensation. The options permit the purchase of 20,000 shares of Amoss $1 par common stock at a price of $32 per share. On the grant date, the stocks market value was $32 per share. The options were exercisable beginning July 1, 2021, and expire on July 1, 2025. On February 3, 2023, when the stock was selling for $53 per share, all options were exercised. Amos's tax rate is 35%. Amos has a December 31 year end for financial reporting purposes.

Required:

How much compensation expense should Amos record in 2017 and 2018 if the options are worth $15 per share on the grant date?

Compute the tax benefit that Amos will receive in 2023 when the employees exercise the options.