Question: On January 1 , 2 0 2 4 , Goncalves Corporation granted 1 , 0 0 0 , $ 1 par, restricted shares of its

On January 1,2024, Goncalves Corporation granted 1,000, $1 par, restricted shares of its common stock to one employee. The shares vest if the employee stays with the company for 3 years. The fair value of the shares on January 1 is $15 per share. Goncalves elects to account for forfeitures as they happen.
Required:
Record the journal entry on January 1,2024(the date of grant) for this compensation plan.
Record the journal entry on December 31,2024 to recognize compensation expense.
Show the accounts related to this compensation plan and their balances on December 31,2024.
Suppose the employee resigned on January 1,2025. Record the entry on that date to reflect the financial statement impact of the resignation.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

One of the issues in Marketing and Promotion is that individual business owners do not typically do much of it, and even less as a formal process. Professional marketers often do things much...

Q:

On January 1 , 2 0 X 4 , Acme Corporation acquired 1 0 0 % of the outstanding common stock of Coyote, a foreign company ( amounts translated to USD ) . To acquire these shares, Acme issued to the...

Q:

Prepare the shareholders' equity section of the balance sheet at December 3 1 , 2 0 2 4 , including any required disclosures. Assume Sunland is reporting under ASPE. ( Enter account name only and do...

Q:

On January 1 , 2 0 2 4 , Concor Company purchased 8 , 1 3 6 shares of Marigold Company's common stock for $ 1 1 8 , 0 0 0 . Immediately after the stock acquisition, the statements of financial...

Q:

On January 1, 2017, Carla Corporation granted 2200 shares of restricted 5.00 par value of common stock to executives. The market place (fair value) of the stock is 63.00 per share on the date...

Q:

O n January 1 2 0 2 6 Ivanhoe Corporation had 1 1 9 0 0 0 shares o f its 5 par value common stock outstanding O n June 1 the corporation acquired 1 0 3 0 0 shares o f stock t o b e held i n the...

Q:

Mann Inc. offers a restricted stock award plan to its vice presidents On January 1, 2021, the corporation granted 10 million of its 55 par common shares, subject to forfeiture if employment is...

Q:

Mann Inc. offers a restricted stock award plan to its vice presidents. On January 1, 2018, the corporation granted 10 million of its $5 par common shares, subject to forfeiture if employment is...

Q:

Allied Paper Products, Incorporated offers a restricted stock award plan to its vice presidents. On January 1, 2024, the company granted 24 million of its $1 par common shares, subject to forfeiture...

Q:

1. On December 31, 201?, Dow Steel Corporation had 780,000 shares of common stoclc and 48,000 shares of 10%, noncumutative, nonconvertible preferred stock issued and outstanding. Dovlr issued a5%...

Q:

1. On December 31, 201?, Dow Steel Corporation had 780,000 shares of common stool: and 48,000 shares of 10%, noncumutat'rve, nonconvertible preferred stock issued and outstanding. Doviir issued a5%...

Q:

AND T E A Question # 04 The figure shows the wave function of electrons arriving on a screen along the x-axis. a. Draw a graph of (x). Agend jo usis WO b. Draw a dot pattern showing the likely...

Q:

What specific actions should Jackson take immediately? What should some of his longer-term goals be?

Q:

What are the rules for IRC Section 1 2 4 4 stock?

Q:

When Jerry Garcia was alive he bought a house for $500,000 and made a $100,000 down payment. He obtained a 30-year loan for the remaining amount. Payments were made monthly. The nominal annual...

Q:

A privately owned summer camp for youngsters has the following data for a 12-week session: Charge per camper ................................$120 per week Fixed costs...

Q:

As shown in Fig. P1.38, an underwater exploration vehicle submerges to a depth of 1000 ft. if the atmospheric pressure at the surface is 1 atm, the water density is 62.4 lb/ft3, and g = 32.2ft/s2,...

Q:

The barometer shown in Fig P1.35 contains mercury (ρ =13.59 g/cm3). If the local atmospheric pressure is 100 kPa and g = 9.81 m/s2, determine the height of the mercury column, L, in mmHg and in...

Q:

In London, half of the days have some rain. The weather forecaster is correct 2/3 of the time, i.e., the probability that it rains, given that she has predicted rain, and the probability that it does...

Q:

Create a 200 word summary on the Juvenile Justice System than and today. Describe The Juvenile system and provide a generalizable definition. Highlight the issues in the Juvenile system and why this...

Q:

What problems are associated with determining the unit cost of materials purchased?mk5

Q:

Why may two companies in the same industry have different classifications for the same costs? Who has the final say when classifying these costs and determining their relationships to the product? mk2

Q:

Describe the functions and responsibilities of the purchasing department. What are the responsibilities of the head of the materials storeroom? mk4