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Wall Drugs offered an incentive stock option plan to its employees. On January 1, 2019, options were granted for 60,000 $1 par common shares. The

Wall Drugs offered an incentive stock option plan to its employees. On January 1, 2019, options were granted for 60,000 $1 par common shares. The exercise price equals the $5 market price of the common stock on the grant date. The options cannot be exercised before January 1, 2022, and expire December 31, 2023. Each option has a fair value of $1 based on an option pricing model.

Which is the correct entry to record the exercise of 90% the options on April 15, 2022, when the market price of the stock was $8?

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