Question: Using the information from BE19-12, now assume that Siry Company only offers the plan to top executives. What journal entry will the company make on

Using the information from BE19-12, now assume that Siry Company only offers the plan to top executives. What journal entry will the company make on the date the employees purchase the shares?
In BE19-12
Siry Company offers all its employees the opportunity to purchase its $ 2 par value common stock at a 5% discount. The employees have three weeks to elect to participate in the plan. The current market price of the stock is $ 80 per share. Employees purchased a total of 200,000 shares. What journal entry will the company make on the date the employees purchase the shares?

Step by Step Solution

★★★★★

3.34 Rating (172 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

The plan is compensatory as it is offered only to select employees Thus Siry does record compens... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

578-B-A-P-P-B (627).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

Optimal capital structure Cosmetic Manufacturers is contemplating changing the capital structure of the firm. The firm has $45,000,000 in total assets, earnings be- fore interest and taxes of...

Using the information from BE19-2, assume this is the only difference between Oxfords pretax financial income and taxable income. Prepare the journal entry to record the income tax expense, deferred...

Using the information from BE19.2, assume this is the only difference between Oxford's pretax financial income and taxable income. Prepare the journal entry to record the income tax expense, deferred...

Using the information from BE10- 13, now assume that Count Clothing is an IFRS reporter. Determine the ending inventory value per unit and the amount of any write- downs per unit using the lower- of-...

Using the information from BE19-9, now assume that the stock appreciation rights are settled for stock. Prepare the journal entries to record the SAR plan. The par value of common stock is $1 per...

I need help with my statement of cash flows, specifically, the cash paid to suppliers and employees section. I need the calculations so that this section of the statement of cash flows equals to be a...

Please show how you got the answer. 21: Suggested Problems 1. On 1/1/x4, Jennings Co. entered into a compensation contract with a few top executives. The contract granted 10k options for the purchase...

please show your work Integrys, Inc. had the following events. (1) On 12/15/18, the stockholders adopted a stock option plan for top executives whereby each might receive options to purchase up to...

Assume that Taxa Company has a qualified stock-option plan for top management.Each stock option represents the right to purchase a share of Taxa Company $1 par value common stock beginning January 1,...

mastery problem liabilities: current installment note and contingencies Mastery Problem: Liabilities: Current, Installment Notes, and Contingencies Copperfield and Company Chart of Accounts Payroll...

A lattice point in the plane is a point with integer coordinates. Suppose that circles with radius are drawn using all lattice points as centers. Find the smallest value of such that any line with...

A projectile is launched at some angle to the horizontal with some initial speed vi, and air resistance is negligible. Is the projectile a freely falling body? What is its acceleration in the...

Moving a folder makes a copy of the folder and places it in another location. Yes No

Renalda sold Westel stock that she purchased at $2.20 per share one year ago for a 35% gain. At what price did she sell the stock?

A trade discount of 22.5% from the suggested selling price for a line of personal computers translates to a $337.05 discount. What net price will a retailer pay?

How should common area costs totalling $28,575 be allocated among commercial tenants A, B, C, and D if the costs are prorated based on leased areas of 1260, 3800, 1550, and 2930 square feet,...

Milan, Katka, and Shoshanna started their partnership with a total investment of $135,000 contributed in the ratio of 3:4: 2. If each partner contributes another $10,000, what will be the ratio of...

The controller of Lafayette Corporation has requested assistance in determining income, basic earnings per share, and diluted earnings per share for presentation in the company's income statement for...

If a sequence is divergent, determine whether it is definitely divergent. [Hint: Use definitions 3.2 and 3.4.]

Floyd Corporation has the following four items in its ending inventory . Determine the final lower-of-cost-or-market inventory value for each item. Replacement Net Realizable Value (NRV) NRV less...

List down the two types of wave motion and briefly describe each of them.

What is the beta of a portfolio comprised of the following securities? Stock Amount Invested Security Beta A $5,200 1.68 B $6,200 1.79 C $8,700 1.00 1.420 1.000 1.790 1.490 1.680

According to the National Weather Service, the mean daily temperature in Okeechobee is 7 3.9 F, with a standard deviation of 3.5 F. Consider the mean daily temperature in Okeechobee for a sample of...