Q- Search in Document Acct Table Design Layout Home Review View Tell me what you want to do + Share Insert Design Layout References Mailings Arial 12. AA A AS A B 1 v U - abc X abc X, XA == + T AaBbcode Aabende cDc cDd bt Paste Normal No Spacing Heading 1 Heading 2 Title Styles Panc ACCT problem - Dilutive Securities and EPS 1. Futuristic Products Company established a stock appreciation rights (SARS) program which entitles its new president Jill Castleberry to receive cash for the difference between the market price of the stock and a preestablished price of $30 a share on 20,000 shares. The date of grant is December 31, 2014 and requires the president remain in her position during 2015, 2016 and 2017. As of January 1, 2018, the SARS are exercisable for 5 years before they lapse. Jill exercises the SARS on January 2, 2020. The company has adopted the fair value method of expensing its SARs to employees and it has run the Black-Scholes pricing model for them. The company controller has also updated the pricing model through the date that the SARs were exercised. The "total" fair value (i.e., the preestablished price has not been deducted yet) for all SARs per the original run of the model (and the updated runs) are shown below. Date Estimated Total Fair Value of SARs /per share 12/31/2014 $30 12/31/2015 36 12/31/2016 39 12/31/2017 45 12/31/2018 36 21/31/2019 48 1/2/2020 48 A. Prepare a Schedule of Compensation Expense pertaining to the SARs for the period 2015-2020. B. Prepare the journal entry for compensation expense in 2014, 2018, and 2019. Page 1 of 3 657 words English (United States) = - + 135% Q- Search in Document Acct Table Design Layout Home Review View Tell me what you want to do + Share Insert Design Layout References Mailings Arial 12. AA A AS A B 1 v U - abc X abc X, XA == + T AaBbcode Aabende cDc cDd bt Paste Normal No Spacing Heading 1 Heading 2 Title Styles Panc ACCT problem - Dilutive Securities and EPS 1. Futuristic Products Company established a stock appreciation rights (SARS) program which entitles its new president Jill Castleberry to receive cash for the difference between the market price of the stock and a preestablished price of $30 a share on 20,000 shares. The date of grant is December 31, 2014 and requires the president remain in her position during 2015, 2016 and 2017. As of January 1, 2018, the SARS are exercisable for 5 years before they lapse. Jill exercises the SARS on January 2, 2020. The company has adopted the fair value method of expensing its SARs to employees and it has run the Black-Scholes pricing model for them. The company controller has also updated the pricing model through the date that the SARs were exercised. The "total" fair value (i.e., the preestablished price has not been deducted yet) for all SARs per the original run of the model (and the updated runs) are shown below. Date Estimated Total Fair Value of SARs /per share 12/31/2014 $30 12/31/2015 36 12/31/2016 39 12/31/2017 45 12/31/2018 36 21/31/2019 48 1/2/2020 48 A. Prepare a Schedule of Compensation Expense pertaining to the SARs for the period 2015-2020. B. Prepare the journal entry for compensation expense in 2014, 2018, and 2019. Page 1 of 3 657 words English (United States) = - + 135%