Calculate the amount of profit or loss, Financial Accounting

Assignment Help:

On 1 January 2009, a company, Yeti, granted an employee the right to choose between (i) 30,000 Yeti shares or (ii) a cash-payment equivalent to the price of 24,000 Yeti shares on 31 December 2011. Each would be receivable on 31 December 2011, providing the person is still employed by the company on that date, which was and still is expected to be the case.

A condition of the award is that if the shares are taken, they must be held until at least 31 December 2013 before they can be sold. The market price of a share was $5.82 on 1 January 2009, $5.92 at 31 December 2009 and $6.20 at 31 December 2010. The fair value of the share alternative has been calculated at $6.14 on 1 January 2009, $6.18 at 31 December 2009 and $6.32 at 31 December 2010.

Requirement

Calculate the amount to be recognised in profit or loss for the year ending 31 December 2010.


Related Discussions:- Calculate the amount of profit or loss

Explain your findings and conclusion, When the stock market is going up ove...

When the stock market is going up over a long period of time, investors can become complacent about the risks of being a stockholder. After the significant decline of the stock mar

Rights and duties of trustee, RIGHTS AND DUTIES OF TRUSTEE The rights a...

RIGHTS AND DUTIES OF TRUSTEE The rights and duties of trustee are as follows: Powers of trustee: Sell and transfer any part of the bankrupt's property;Carry on the busines

ACCOUNTING THEORY, HOW DOES ACCOUNTING THEORY INFLUENCE ACCOUNTING POLICY M...

HOW DOES ACCOUNTING THEORY INFLUENCE ACCOUNTING POLICY MAKING

Accounting concepts, Accounting concepts The word 'Accounting Concept' ...

Accounting concepts The word 'Accounting Concept' is used to denote necessary assumptions and ideas which are basic to accounting practice. The variety of accounting concepts i

What are the u.s. tax consequences of this liquidation for w, 1. Finco is a...

1. Finco is a wholly owned Finnish manufacturing subsidiary of Winco, a domestic corporation that manufactures and markets residential window products throughout the world. Winco h

Designs income statement, Please use the information below to complete Form...

Please use the information below to complete Form 1120S and the Schedule K-1%u2019s for Form 1120S. Blank forms can be found on the Hands-On Assignment page or in Doc Sharing. If y

Taxtomy of intermediaries, Ask quwhats taxtonomy of intermediaries estion #...

Ask quwhats taxtonomy of intermediaries estion #Minimum 100 words accepted#

PARTNERSHIP, CHARACTERISTICS OF PARTNERSHIP

CHARACTERISTICS OF PARTNERSHIP

Khyber bank, how we write a literature review

how we write a literature review

Treasury security, The real risk-free rate is 3%. Inflation is usual to be ...

The real risk-free rate is 3%. Inflation is usual to be 3% this year, 4% next year, and then 5% afterthat. The maturity risk premium is estimated to be 0.0007 x (t - 1), where t =

Write Your Message!

Captcha
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