Question

On October 1, 2013, Farmer Fabrication issued stock options for 100,000 shares to a division manager. The options have an estimated fair value of $6 each. To provide additional incentive for managerial achievement, the options are not exercisable unless Farmer Fabrication’s stock price increases by 5% in three years. Farmer initially estimates that it is not probable the goal will be achieved. How much compensation will be recorded in each of the next three years?



$1.99
Sales0
Views208
Comments0
  • CreatedDecember 23, 2013
  • Files Included
Post your question
5000