Pastner Brands is a calendar-year firm with operations in several countries. As part of its executive compensation plan, at January 1, 2018, the company issued 440,000 executive stock options permitting executives to buy 440,000 shares of Pastner stock for $36 per share. One-fourth of the options vest in each of the next four years beginning at December 31, 2018 (graded vesting). Pastner elects to separate the total award into four groups (or tranches) according to the year in which they vest and measures the compensation cost for each vesting date as a separate award. The fair value of each tranche is estimated at January 1, 2018, as follows: Vesting Date Fair Value Amount Vesting 252 252 25 25 per Option Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 Dec. 31, 2021 $3.70 $4.20 $4.50 $5.20 Required 1. Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner allocates the compensation cost for each of the four groups (tranches) separately 2. Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner uses the straight-line method to allocate the total compensation cost. Complete this question by entering your answers in the tabs below Required 1Required 2 Determine the compensation expense related to the options to be recorded each year 2018-2021, assuming Pastner allocates the compensation cost for each of the four groups (tranches) separately. (Enter your answers in thousands.) Shares Vesting at: Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 Dec. 31, 2021 pensation Expense in 2018 2019 2020 2021 Total Total Required 1 Required 2 >