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STOCK-BASED COMPENSATION | 3 Months Ended
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Mar. 31, 2024
Share-Based Payment Arrangement [Abstract] |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION Stock-based compensation expense related to awards issued under the Company's incentive compensation plans for the three months ended March 31, 2024 and 2023 was as follows (in millions):
|  |  | Three Months Ended March 31,
|  |  |  |  | 2024 |  | 2023
Cost of sales |  |  |  |  | $ | 8.2 |  |  | $ | 7.0 |
Selling, general, and administrative expenses |  |  |  |  | 24.6 |  |  | 22.3 |
Research and development expenses |  |  |  |  | 11.2 |  |  | 9.6 |
Separation costs |  |  |  |  | 0.6 |  |  | — |
Total stock-based compensation expense |  |  |  |  | 44.6 |  |  | 38.9 |
Income tax benefit |  |  |  |  | (6.2) |  |  | (4.7) |
Total stock-based compensation expense, net of tax |  |  |  |  | $ | 38.4 |  |  | $ | 34.2 |
At March 31, 2024, the total remaining compensation cost related to nonvested stock options, restricted stock units, market-based restricted stock units, and employee stock purchase plan ("ESPP") subscription awards amounted to $242.6 million, which will be amortized on a straight-line basis over each award's requisite service period. The weighted-average remaining requisite service period is 30 months. Fair Value Disclosures The following table includes the weighted-average grant-date fair values of stock options granted during the periods indicated and the related weighted-average assumptions used in the Black-Scholes option pricing model:
Option Awards |  |  | Three Months Ended March 31,
|  |  |  |  | 2024 |  | 2023
Risk-free interest rate |  |  |  |  | 4.3% |  | 4.1%
Expected dividend yield |  |  |  |  | None |  | None
Expected volatility |  |  |  |  | 32.7% |  | 31.3%
Expected term (years) |  |  |  |  | 5.3 |  | 5.3
Fair value, per option |  |  |  |  | $ | 32.91 |  |  | $ | 27.77 |
The following table includes the weighted-average grant-date fair values for ESPP subscriptions granted during the periods indicated and the related weighted-average assumptions used in the Black-Scholes option pricing model:
ESPP |  |  | Three Months Ended March 31,
|  |  |  |  | 2024 |  | 2023
Risk-free interest rate |  |  |  |  | 5.1% |  | 4.6%
Expected dividend yield |  |  |  |  | None |  | None
Expected volatility |  |  |  |  | 34.8% |  | 31.5%
Expected term (years) |  |  |  |  | 0.6 |  | 0.6
Fair value, per share |  |  |  |  | $ | 25.52 |  | $ | 21.10 |

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