What amount of compensation expense shall be recognized

Assignment Help Financial Accounting
Reference no: EM132815023

On January 1, 20x1, Golf View Village Co. grants 1,000 share options to each of its 180 employees on condition that the employees remain in Golf View's employ until the end of 20x3. The exercise price per share option is ?20. The fair value per share option is ?80.

On December 31, 20x1, Golf View modifies the share option grant by reducing the exercise price to ?60. This resulted to an increase in the fair value per option before the modification of ?100 to ?120 after the modification.

Problem 1: What amount of compensation expense shall be recognized in 20x1?

a. 4,800,000

b. 3,600,000

c. 1,800,000

d. 1,200,000

Problem 2: What amount of compensation expense shall be recognized in 20x2?

a. 4,800,000

b. 6,600,000

c. 7,200,000

d. 9,600,000

Reference no: EM132815023

Questions Cloud

Rules of netiquette : Find a heated discussion in an online forum (Facebook, Twitter, Instagram, etc.) Tell us what the discussion was about and describe how it was handled.
How does an installment note differ from a bond payable : Payable or borrowing the money from a local bank in the form of an installment note. How does an installment note differ from a bond payable?
What strategies do you use to apply real-world relevancy : How do you engage students in learning opportunities specific to mathematics? What strategies do you use to apply real-world relevancy to math lessons?
Direct costs of a data breach to an organization : Information technology security breaches costs an organization millions of dollars. Identify any two (2) direct costs of a data breach to an organization
What amount of compensation expense shall be recognized : What amount of compensation expense shall be recognized in 20x2? On January 1, 20x1, Golf View Village Co. grants 1,000 share options to each
Explain a characteristic of personality : Post a discussion of that uses Gordon Allport's theoretical perspective to explain a characteristic of personality.
What the maximum price that rita will be willing to pay : She is expecting that the annual interest rates will be 8% over that time period. The maximum price that Rita will be willing to pay for the annuity is closest
Specific kinds of audience : Think of a specific topic and two specific kinds of audience. How does the intended audience influence the choice of words and use of language in a document?
Test development essay : the chapter makes the following statement while addressing test development: The beginnings of any published test can probably be traced to thoughts - self - ta

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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!

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