Darling Petrol Corp. granted stock options to executives in early 2 0 X 1 . The stock
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Question:
Darling Petrol Corp. granted stock options to executives in early X The stock options vest over five years and expire after eight years. In total, the options allow the purchase of shares at $ per share. Option pricing models indicate that the options have a total fair value of $ Estimates of retention are at the end of X and at the end of X
Required:
Provide the journal entries to be recorded with respect to the options at the end of X and XDo not round intermediate calculations. If no entry is required for a transactionevent select No journal entry required\" in the first account field.
What would the balance be in the equity account for stock options at the end of the fifth year if retention remained at Do not round intermediate calculations.
Assume that actual retention was and the options were exercised at the end of the sixth year when the market price of common shares is $ Provide the entry for exercise. Do not round intermediate calculations. If no entry is required for a transactionevent select No journal entry required\" in the first account field.
Assume that retention was but the options were allowed to lapse after eight years when the price of common shares is $ Provide the entry for the lapse. If no entry is required for a transactionevent select No journal entry required\" in the first account field. Do not round intermediate calculations.
Related Book For
Intermediate Accounting Volume 2
ISBN: 9781260881240
8th Edition
Authors: Thomas H. Beechy, Joan E. Conrod, Elizabeth Farrell, Ingrid McLeod-Dick, Kayla Tomulka, Romi-Lee Sevel
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