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What is the effect on earnings in the year

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Reference no: EM131782014

Question - FX Services granted 15 million of its $1 par common shares to executives, subject to forfeiture if employment is terminated within three years. The common shares have a market price of $8 per share on the grant date. Ignoring taxes, what is the effect on earnings in the year after the shares are granted to executives?

A. $0

B. $15 million

C. $40 million

D. $120 million

Reference no: EM131782014

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