the stock appreciation rights. The equivalent number of shares for stock appreciation rights will be based...

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the stock appreciation rights. The equivalent number of shares for stock appreciation rights will be based on the level of sales of the company at the end of 2023, as follows: Sales Level (in millions) P250 to P400 P400+ to P750 Above P750 Year 2021 2022 2023 Sales actually achieved by the company and the stock price at the end of each year are: Sales Level FV of SARS 210 million P74 410 million $5 760 million 95 There has been an average increase in annual sales of 25% in the past years and the company expects the same pattern over the vesting period & ACCO Required: SINESS 1. What is the compensation expense to be recognized in 2021, 2022 and 2023? 2. The entry to record the payment to employees in 2023 assuming all of the rights are exercised in 2023 when the prevailing fair market value is at P98 3. Assuming the SARs are not yet exercised as at December 31, 2023, and the fair value of the SARs is at P90, what is the liability for the SAR to be recognized as of December 31, 2023? Number of SARs to be granted 10,000 15,000 20,000 원사 In your audit of BELERICK CORP. for the calendar year ended December 31, 2020, you discovered the following charges to the company's retained earnings account: Balance January 1 Unrealized loss on financial assets at FVOCI Inventory fire loss Impairment loss on Property, Plant and Equipment 15% stock dividends declared (100,000 shares outstanding at P100 par) Loss on sale of equipment SINCE 1953 Correction of a prior period error Loss on retirement of ordinary shares as treasury Gain on sale of ordinary shares as excess over par Gain on premature retirement of bonds Unrealized holding gain on financial assets held at FVPL Proceeds from sale of donated shares Net income for the year Reserve for plant expansion P7,800,000 (400,000) (150,000) (750,000) (1,500,000) (200,000) (1,500,000) (1,050,000) 1,000,000 300,000 700,000 800,000 9,000,000 (3,000,000) a. The 15% stock dividends were declared on November 1, 2020, distributable to stockholders as of December 1, 2020 distributable on January 15, 2021. BELERICK's stocks were selling at P110 on November 1, P105 on December 1, and P112 on December 31, 2020. b. The company's share premium from treasury stock transaction account amounted to P850,000. the stock appreciation rights. The equivalent number of shares for stock appreciation rights will be based on the level of sales of the company at the end of 2023, as follows: Sales Level (in millions) P250 to P400 P400+ to P750 Above P750 Year 2021 2022 2023 Sales actually achieved by the company and the stock price at the end of each year are: Sales Level FV of SARS 210 million P74 410 million $5 760 million 95 There has been an average increase in annual sales of 25% in the past years and the company expects the same pattern over the vesting period & ACCO Required: SINESS 1. What is the compensation expense to be recognized in 2021, 2022 and 2023? 2. The entry to record the payment to employees in 2023 assuming all of the rights are exercised in 2023 when the prevailing fair market value is at P98 3. Assuming the SARs are not yet exercised as at December 31, 2023, and the fair value of the SARs is at P90, what is the liability for the SAR to be recognized as of December 31, 2023? Number of SARs to be granted 10,000 15,000 20,000 원사 In your audit of BELERICK CORP. for the calendar year ended December 31, 2020, you discovered the following charges to the company's retained earnings account: Balance January 1 Unrealized loss on financial assets at FVOCI Inventory fire loss Impairment loss on Property, Plant and Equipment 15% stock dividends declared (100,000 shares outstanding at P100 par) Loss on sale of equipment SINCE 1953 Correction of a prior period error Loss on retirement of ordinary shares as treasury Gain on sale of ordinary shares as excess over par Gain on premature retirement of bonds Unrealized holding gain on financial assets held at FVPL Proceeds from sale of donated shares Net income for the year Reserve for plant expansion P7,800,000 (400,000) (150,000) (750,000) (1,500,000) (200,000) (1,500,000) (1,050,000) 1,000,000 300,000 700,000 800,000 9,000,000 (3,000,000) a. The 15% stock dividends were declared on November 1, 2020, distributable to stockholders as of December 1, 2020 distributable on January 15, 2021. BELERICK's stocks were selling at P110 on November 1, P105 on December 1, and P112 on December 31, 2020. b. The company's share premium from treasury stock transaction account amounted to P850,000.

Answer rating: 100% (QA)

Answer Lets address each part of the required tasks 1 Compensation Expense Recognition We need to calculate the compensation expense to be recognized ... View the full answer