On November $1,2025,$ Bonita Company adopted a stock$-$option plan that granted options to key executives to purchase $31,800$ shares

of the company's $$9$ par value common stock. The options were granted on January $2,2026,$ and were exercisable $2$ years after the

date of grant if the grantee was still an employee of the company. The options expired $6$ years from date of grant. The option price was

set at $$40,$ and the fair value option$-$pricing model determines the total compensation expense to be $$477,000.$

All of the options were exercised during the year $2028$:$21,200$ on January $3$ when the market price was $$68,$ and $10,600$ on May $1$

when the market price was $$78$ a share.

Prepare journal entries relating to the stock option plan for the years $2026,2027,$ and $2028.$ Assume that the employee performs

services equally in $2026$ and $2027.($List all debit entries before credit entries. Credit account titles are automatically indented when amount is

entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. Do not round

intermediate calculations. Round answers to $0$ decimal places, e$.$g$.5,125.$ Record entries in the order displayed in the problem statement.$)$

Date

Account Titles and Explanation

No Entry

No Entry

Compensation Expense

Debit

Credit

$]$

Paid$-$in Capital$-$Stock Options

Compensation Expense

Paid$-$in Capital$-$Stock Options

$]$

Paid$-$in Capital in Excess of Par $-$ Preferred Stock

$238500$

$238500$

Common Stock

Paid$-$in Capital in Excess of Par $-$ Common Stock

$$

Paid$-$in Capital in Excess of Par $-$ Common Stock

$19$