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Wall Drugs offered an incentive stock option

01 / 10 / 2021 Projects

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Wall Drugs offered an incentive stock option

Wall Drugs offered an incentive stock option plan to its employees. On January 1, 2016, 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, 2019, and expire December 31, 2020. Each option has a fair value of $1 based on an option pricing model.What is the entry to record the expiration of 10% of the options on December 31, 2020?



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