On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$

On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$

On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$

On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$

On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$

On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$

On January $1,2018,$ Tower Corporation granted E$.$ Costello, its president, a compensatory stock option plan to purchase $5,000$ shares of Tower's $$10$ par common stock. The exercise price of each option is $$25$ and each option has a fair value of $$8.$ The options become exercisable on January $1,2022,$ after four years of service.

How much compensation expense should Tower recognize in $2018?$

Select one:

a$.$ $$10,000$

b$.$ $$0$

c$.$ $$56,000$

d$.$ $$40,000$