User Account

All Pages

Make journal entries to record issuance of the stock options

Assignment Help Accounting Basics
Reference no: EM132614486

Question - On January 1, 2018, Sandhill Inc. granted stock options to officers and key employees for the purchase of 20,000 shares of the company's $10 par common stock at $23 per share. The options were exercisable within a 5-year period beginning January 1, 2020, by grantees still in the employ of the company, and expiring December 31, 2024. The service period for this award is 2 years. Assume that the fair value option-pricing model determines total compensation expense to be $378,200.

On April 1, 2019, 2,000 options were terminated when the employees resigned from the company. The market price of the common stock was $35 per share on this date.

On March 31, 2020, 12,000 options were exercised when the market price of the common stock was $39 per share.

Required - Make journal entries to record issuance of the stock options, termination of the stock options, exercise of the stock options, and charges to compensation expense, for the years ended December 31, 2018, 2019, and 2020.

Reference no: EM132614486

Questions Cloud

Summarize the steps of the scientific method : Summarize the steps of the scientific method by answering the questions in each box below. Use the information from the passage to answer the questions.
Calculate the three-year holding period return : You earned a total return of -5% on XYZ stock this year, earned -40% last year, and earned 30% two years ago. Calculate the three-year holding period return
Develop examples of how prepare to read : Do you remember when you first learned to read? What was that experience like? As you've gotten older, has reading been easy or difficult for you?
Instructions for building a specific polypeptide : A nucleotide sequence is a code that provides instructions for building a specific polypeptide from amino acids.
Make journal entries to record issuance of the stock options : The market price of the common stock was $35 per share on this date. Make journal entries to record issuance of the stock options
Define immunity and write how many lines of defense : Define immunity and write how many lines of defense do we have in our body.
Compare a positive feedback loop and negative feedback : Compare a positive feedback loop and negative feedback loop for homeostasis. Body temperature is an example of a negative feedback loop.
What will be the phenotype of the f1 plants : In peas, tall is dominant over dwarf. If a plant homozygous for tall is crossed with one homozygous for dwarf:
How much will she have in her account : If Suzana can earn an average of 11% on her investments, how much will she have in her account if she retires 25 years from today

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd