What is the journal entry to record compensation expense for Year 1?

A)
Deferred Compensation
80,000

APIC – Stock Options

80,000

B)
Compensation Expense
80,000

Common Stock

80,000

C)
Compensation Expense
240,000

APIC – Stock Options

240,000

D)
Compensation Expense
80,000

Deferred Compensation

80,000

Keiko
#1 Answer

Answer: D