Exercise of options impact the balance sheet

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Reference no: EM131905659

Analyzing stock based compensation. Howell Company began business on March 1, 2017. At that time, it granted 250,000 options, with a strike price of $5, to computer engineers in lieu of signing bonuses. The fair value of each option was estimated at $1 and the options vest over four years. How will the exercise of the options impact the balance sheet, income statement, and statment of cash flows?

Reference no: EM131905659

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