This year, CSUEB Inc. granted a nonqualified stock option to Luca Muoz to buy 10,000 shares of CSUEB stock for $10 per share for five years. At date of grant, CSUEB stock was selling on a regional securities market for $8 per share. CSUEB recorded $25,000 compensation expense for the estimated value of the option. Five years after CSUEB granted the option to Luca Muoz, she exercised it on a day when CSUEB stock was selling for $12.00 per share. How much income must Luca Muoz recognize in the year of exercise? A. $0 OB. $5,000 O C. $20,000 D.$95,000 E. $120,000