Exhibit 15-3 on January 1, 2014, Howard, Inc $\quad$ $ 7,000

B) Liabilities: Employee Stock Option Plan

Exhibit 15-3 On January 1, 2014, Howard, Inc. granted to a key executive a fixed compensatory share option plan for 1,000 shares of $4 par common stock for $30 a share. The fair value per option on that date was $14 per option. The service period extended through December 31, 2015.
-Refer to Exhibit 15-3. Which balance sheet disclosure would be correct at December 31, 2014?

A) Stockholders' equity:
Paid-in Capital Share Options $\quad$ $ 7,000

B) Liabilities: Employee stock option plan $\quad$ $ 7,000

C) Stockholders' equity:
Paid-in Capital Share Options $\quad$ $ 7,000
Less: Deferred compensation $\quad$ 7,000
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$ $14,000

D) footnote disclosure only