• On January 1, 2018 Weins Inc. granted 100,000 stock appreciation rights (SARs) to its executives. (Weins Inc uses IFRS)
• Each SAR entitled its holder to receive cash equal to the difference between the market price of the common share and the benchmark price of $12.
• The SARs vested after two years and expired on Dec. 31, 2021.
• On January 1, 2020, 10,000 SARs are exercised. The market price of the shares remained at $22.
• On January 1, 2021, 50,000 SARS are exercised. The market price of the shares remained at $15
• The remaining SARs expired on December 31, 2021

Pertinent stock-related data are listed below:

Date	Fair value each SAR	Market price of share
1-Jan-18		$11
31-Dec-18	$7	$15
31-Dec-19	$6	$14
31-Dec-20	$8	$22
31-Dec-21	$5	$15

Required: 

Prepare journal entries for the following:

December 31, 2018, to record compensation expense.

December 31, 2019, to record compensation expense.

December 31, 2020, to record compensation expense.

January 1, 2020, to record the partial exercise of the SARs.

December 31, 2021, to record compensation expense.

January 1, 2021, to record the partial exercise of the SARs.

December 31, 2022, to record the expiry.

Answer rating: 100% (QA)

Solution calelati on Liakiug g Liehiliy k Jou Stek Appe ciation Rights ... View the full answer