On January 1, 2020, Joey Corporation issued 10,000 share appreciation rights (SAR) to selected employees that...

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On January 1, 2020, Joey Corporation issued 10,000 share appreciation rights (SAR) to selected employees that vest after three years, provided the employees remain employed by the company at least until the exercise date. Each SAR entitles the employee a cash payment for an amount the share price of the company's ordinary share exceeds P120. The market price of Joey's ordinary share at the end of each vesting year is as follows: Dec. 31, 2020 - P140 Dec. 31, 2021- P150 Dec. 31, 2022 - P165 REQUIRED: 1. Prepare all entries in the books of Joey Corporation for years 2020, 2021 and 2022. 2. Give the entry for the exercise of the SAR assuming that (a) the rights were exercised on January 1, 2023, when the market price of the ordinary share is P165. (b) the rights were exercised on December 31, 2023, when the market price of the ordinary share is P172. On January 1, 2020, Joey Corporation issued 10,000 share appreciation rights (SAR) to selected employees that vest after three years, provided the employees remain employed by the company at least until the exercise date. Each SAR entitles the employee a cash payment for an amount the share price of the company's ordinary share exceeds P120. The market price of Joey's ordinary share at the end of each vesting year is as follows: Dec. 31, 2020 - P140 Dec. 31, 2021- P150 Dec. 31, 2022 - P165 REQUIRED: 1. Prepare all entries in the books of Joey Corporation for years 2020, 2021 and 2022. 2. Give the entry for the exercise of the SAR assuming that (a) the rights were exercised on January 1, 2023, when the market price of the ordinary share is P165. (b) the rights were exercised on December 31, 2023, when the market price of the ordinary share is P172.

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1 Entries in the books of Joey Corporation for years 2020 2021 and 2022 Year 2020 Dec 31 2020 Share ... View the full answer