Business, 18.02.2021 23:40, javier1026

On January 1, 2017, options were granted to the CEO to purchase 8,000 shares at $15 per share. The par value per share is $5. The options are non-transferable and the CEO has to remain an employee of the company to exercise the option. The options expire on 1/1/2021. It is assumed that the options are for services performed equally in 2017 and 2018. The Black-Scholes option pricing model determines total compensation expense to be $275,000

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On January 1, 2017, options were granted to the CEO to purchase 8,000 shares at $15 per share. The p...