On January 1, 2017, Orion Corp

Multiple Choice

On January 1, 2017, Orion Corp.granted an employee an option to purchase 5,000 of Orion's no par value common shares at $50 per share.The Black-Scholes option pricing model determined total compensation expense to be $220,000.The option became exercisable on December 31, 2018, after the employee completed two years of service.The market prices of Orion's shares were as follows: For calendar 2018, Orion should recognize compensation expense of

A) $ 0.
B) $ 50,000.
C) $110,000.
D) $250,000.