Valley Corporation established a stock option plan for its officers and key employees this year. Because the

Question:

Valley established a stock option plan for its officers and key employees this year. Because the options granted have a higher option price than the stock’s current market price, the company has not recognized any cost for the options in the However, a note to the includes all required disclosures.
a. Do you believe that Valley’s management has appropriately accounted for the stock option plan? Explain your answer.
b. What responsibility do the auditors have for the information in the notes to the

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...