How much is the compensation expense for the year

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Problem 1: On July 1, 2020, Feb Company granted share options to key employees for purchase of 20,000 of the company's ordinary share capital at P25 per share. The fair value of the option at the date of grant is P9. The options are intended to compensate employees for the next two years. The options are exercisable within a four-year period beginning July 1, 2022 by grantees still in the employ of the company. The market price of the ordinary share was P33 per share at the date of grant. No share options were terminated during the year. How much is the compensation expense for the year ended December 31, 2020

Reference no: EM132715931

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