Blue company is a calendar-year firm with operations in several countries. at january 1, 2021, the company had issued 40,000 executive stock options permitting executives to buy 40,000 shares of stock for $30. the vesting schedule is 20% the first year, 30% the second year, and 50% the third year (graded-vesting). the fair value of the options is estimated as follows: vesting date amount vesting fair value per optiondec 31 2011 20% $7dec 31 2012 30% $8dec 31 2013 50% $12what is the compensation expense related to the options to be recorded in 2012?

Ummit record company is negotiating with two banks for a $157,000 loan. fidelity bank requires a compensating balance of 24 percent, discounts the loan, and wants to be paid back in four quarterly payments. southwest bank requires a compensating balance of 12 percent, does not discount the loan, but wants to be paid back in 12 monthly installments. the stated rate for both banks is 9 percent. compensating balances will be subtracted from the $157,000 in determining the available funds in part a. a-1. calculate the effective interest rate for fidelity bank and southwest bank. (do not round intermediate calculations. input your answers as a percent rounded to 2 decimal places.) a-2. which loan should summit accept? southwest bank fidelity bank b. recompute the effective cost of interest, assuming that summit ordinarily maintains $37,680 at each bank in deposits that will serve as compensating balances