Problem #$22$: Accounting for Stock Appreciation Rights $($SAR$\text{'}$s$)$

Clark Industries, Inc. establishes a share$-$appreciation rights plan on January $1,2018.$ The plan entitles executives to

receive cash at the date of exercise for the difference between the market price of the stock and the pre$-$established

price of $$60$ on $10,000$ SARs. The service period runs for two years $(2018-2021).$

The value of the SAR's at the end of each of year $(2018-2020)$ are as follows:

Requirement: Record the journal entries for the three$-$year period $(2018-2020)$ to record compensation expense

relative to the SAR's $($Note: Three Journal entries required$)$