What is the fair value of the liability to be recorded

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Problem 1: A public limited company, has granted 100 share appreciation rights to each of its 1,000 employees in January 1, 20x4. The management feels that as of December 31, 20x4, 90% of the awards will vest on December 31, 20x6. The fair value of each share appreciation right on December 31, 20x4 is P10. What is the fair value of the liability to be recorded in the financial statements for the year ended, December 31, 20x4?

a) P300,000          c) P100,000
b) P10 million            d) P90,000

Reference no: EM132756964

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