Prepare the journal entries to the foregoing

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Problem - On January 1, 2021, ABC Company granted 20,000 share with a fair market value of P30 per share to its key officers, conditional upon the completion of three years' service. By the end of 2022, the share price has dropped to P26 per share. Immediately, ABC Company adds a cash alternative to the grant, whereby the officer can choose whether to receive 20,000 shares or cash equal to the value of 20,000 shares on vesting date, which is on December 31, 2023. On December 31, 2023, the share price is P24. Prepare the journal entries to the foregoing.

Reference no: EM132908349

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