Current Attempt in Progress

Sheffield Company issues $3,700$ shares of restricted stock to its CFO, Dane Yaping, on January $1,2025.$ The stock has a fair valu $$129,000$ on this date. The service period related to this restricted stock is $4$ years. Vesting occurs if Yaping stays with the comp for $4$ years. The par value of the stock is $$5.$ At December $31,2026,$ the fair value of the stock is $$131,000.$

$($a$)$

Your answer is correct.

Prepare the journal entries to record the restricted stock on January $1,2025($the date of grant$),$ and December $31,2026.($Lis debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. Record entries in the order displayed in the problem statement.$)$

Date

Account Titles and Explanation

Debit

Credit

Unearned Compensation

Common Stock

March $4,2027,$ Yaping leaves the company. Prepare the journal entry to account for this forfeiture. $($List all debit entries fore credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

Date Account Titles and Explanation

Debit

Credit

Common Stock

Paid$-$in Capital in Excess of Par $-$ Common Stock

Unearned Compensation

Compensation Expense

Textbook and Media

Assistance Used

Textbook