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Question - On July 1, 2016, Hooker Financial Corporation granted 50,000 options to key executives. Each option allows the executive to purchase one share of Hooker's $1 par value com- mon stock at a price of $58 per share. The options were exercisable within a 2-year period beginning July 1, 2018, if the grantee is still employed by the company at the time of the exercise. On the grant date, Hooker's stock was trading at $50 per share, and a fair value option-pricing model determines total compensation to be $350,000.
On July 1, 2018, 35,000 options were exercised when the market price of Hooker's stock was $65 per share. The remaining options lapsed in 2020 because executives decided not to exercise their options.
Instructions - Prepare the necessary journal entries related to the stock option plan for the years 2016 through 2020.
Omaha Company manufactures special electrical equipment and parts. Calculate the direct materials purchase price variance
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Question 2: The defense of involuntary intoxication is similar to
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Use the gross profit method to estimate the cost of the inventory destroyed in the fire.
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