QUESTION 5 Not complete Points out of 1.00 P Flag question Interpreting Disclosure on Employee Stock options ntel Corporation reported the following in its 2012 10-K report. Share-Based Compensation Share-based compensation recognized in 2012 was $1.1 billion ($1.1 billion in 2011 and $917 million in 2010) During 2012, the tax benefit that we realized for the tax deduction from share-based awards totaled $510 million ($327 million in 2011 and $266 million in 2010) We use the Black-Scholes option pricing model to estimate the fair value of options granted under our equity incentive plans and rights to acquire stock granted under our stock purchase plan. We based the weighted average estimated value of employee stock option grants and rights granted under the stock purchase plan, as well as the weighted average assumptions used in calculating the fair value, on estimates at the date of grant, as follows Stock Stock Purchase Plan options 2012 2011 2010 2012 2011 2010 Estimated values 4.22 3.91 $4.82 5.47 4.69 4.71 Expected life (in years) 5.3 5.4 4.9 0.5 0.5 0.5 Risk-free interest rate 1.0% 22% 2.5% 0.1% 0.2% 0.2% 25% 27% 28% 24% 26% 32% Volatility Dividend yield 3.3% 3.4% 2.7% 3.3% 3.6% 3.1% Additional information with respect to stock option activity is as follows: Weighted Average Number of Exercise (In millions, except per option amounts) options Price 451.3 25.08 December 26, 2009 20.2 23.25 Grants (16.6) 18.36 Exercises Cancellations and forfeitures (16.1) 24.76