What is the impact on crane net income for the year ended

Assignment Help Accounting Basics
Reference no: EM132742058

Question: On December 31, 2020, Crane Company granted some of its executives options to purchase 55000 shares of the company's $10 par common stock at an option price of $50 per share. The options become exercisable on January 1, 2021, and represent compensation for executives' services over a three-year period beginning January 1, 2021. The Black-Scholes option pricing model determines total compensation expense to be $368100. At December 31, 2021, none of the executives had exercised their options. What is the impact on Crane's net income for the year ended December 31, 2021 as a result of this transaction under the fair value method?

Reference no: EM132742058

Questions Cloud

Major risks confronting supply chain management : Question: Based on facts, what are the five Major Risks confronting supply chain management and global transportation? Describe.
Prepare the adjusting Journal Entries for the year ended : Of the bank loan, $1,000,000 is due June 30, 2021 with the remainder due June 30, 2026. Prepare the adjusting Journal Entries for the year ended
Explain the different categories of financial assets : Explain the different categories of financial assets (such as passive investments) and their measurement under IFRS and ASPE. Note: Use IFRS 9
Explain briefly the strategic importance of a layout : Enumerate and explain comprehensively the basic components of Supply Chain Management.
What is the impact on crane net income for the year ended : On December 31, 2020, Crane Company granted some of its executives options to purchase 55000 shares of the company's $10 par common stock at an option price.
Which of the methods of cost allocation : Which of the methods of cost allocation is not one of the four common methods used to allocate the joint costs incurred in a production process?
Identify the different asean summit : Differentiate APEC and ASEAN with your own understanding. In addition, Identify the different ASEAN Summit that was already conducted in the Philippines
How much shares should be subscribed and actually paid : As per Articles of Incorporation the corporation has an authorized share capital of P60,000. How much shares should be subscribed and actually paid
How much is the potential loss of indonesia in the event : In 2019, BVI Inc a company incorporated in British Virgin Island, intended to lend some money to its Indonesian subsidiary. PT Indoindo.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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