Number of shares based on the yearly increase in sales

Assignment Help Operation Management

Reference no: EM131414747

On January 1, Year 1, Phoenix Corporation adopts a performance-based share option plan for 25 executives, with the number of shares based on the yearly increase in sales. At the end of Year 1, based on a 10% increase in sales, it expects that each executive will be granted 150 options and that the fair value of an option expected to vest is $15.75. Phoenix expects a turnover rate of 15% over the 3-year service period.

Determine the compensation expense for Year 1 for this plan. Round your answer to the nearest whole dollar.

Reference no: EM131414747

Questions Cloud

The ford pinto met federal safety standards : The Ford Pinto met federal safety standards, yet it had a design flaw that resulted in serious injuries and deaths. Is simply meeting safety standards a sufficient product design goal of ethical companies? Gioia uses the notion of script schemas to h..

Classical conditioning to market to the target audience : After reading about classical conditioning, consider how marketers have attempted to use classical conditioning in their advertising. Examine four print or television advertisements. A discussion of whether or not the advertiser is using conditional ..

What ways did blockbuster avhieve better startegic fit : In what ways did Blockbuster avhieve better startegic fit than local stores? How did Netflix and Redbox achive better strategic fir than Blockbuster?

Discuss some behavioral-verbal-nonverbal clues of deception : You have been assigned to the Emerel Company embezzlement case by the owner of your CPA firm. The president of Emerel Company, as previously noted, has told you that Susan Smith, the assistant bookkeeper, has reported the suspected fraud. Explain th..

Number of shares based on the yearly increase in sales : On January 1, Year 1, Phoenix Corporation adopts a performance-based share option plan for 25 executives, with the number of shares based on the yearly increase in sales. At the end of Year 1, based on a 10% increase in sales, it expects that each ex..

Human resource management consultant to verizon : You have been hired as a Human Resource Management Consultant to Verizon. Outline a plan in 250-300 words, to recruit and retain high-quality employees that will help the company predict future employee needs. Provide examples to support your recomme..

Explain the segments of this particular target market : For this discussion you will need to examine a target market of your choice. Explain the segments of this particular target market (for example: gender + occupation), Use several current, relevant citations to help persuade the reader why this unique..

Limitation to only evaluating those competitive forces : Porter’s 5 Competitive Forces, what do you believe is a limitation to only evaluating those competitive forces for that selected industry/company. In other words, what implications are NOT considered when only utilizing Porter’s 5 Competitive Forces ..

User Account

All Pages