Teflon Corporation expenses stock options as required by GAAP. On January 1, 2018, Teflon granted 500 options to executive management. Each option entitled the option holder to purchase one share of Teflon common stock at $10 per share. The options will vest on December 31, 2020. On the grant date, January 1, 2018, the stock was quoted on the stock exchange at $15 per share. The fair value of the options on grant date was estimated to be $6 per option. What is the amount of compensation expense Teflon should recognize with respect to the options during 2018, 2019, and 2020, respectively?

• $0, $0, $2500

• $0, $0, $3000

• $833.33, $833.33, $833.33

• $1000, $1000, $1000