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Question - On January 1, 2020, Martinez Corporation granted 4,800 options to executives. Each option entitles the holder to purchase one share of Martinez's $5 par value common stock at $50 per share at any time during the next 5 years. The market price of the stock is $68 per share on the date of grant. The fair value of the options at the grant date is $164,000. The period of benefit is 2 years. Prepare Martinez's journal entries for January 1, 2020, and December 31, 2020 and 2021.
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