Answer:
don't know what is the answer sorry
very sorry
Answer:
The additional information for this question is:
January 1, 2016 $14
December 31, 2016 15
What amount should Olympic recognize as compensation expense for 2016?
The correct answer is $50.000
Explanation:
To find this figure, we take as a reference the price of the fair value of the options that is $ 5 on the grant date, multiplied by the options on the shares totaling $ 30,000. Then, it must be divided between the award period that according to the problem is 3 years (2018-2021). This operation results in a total of $ 50,000 that should be recognized as compensation.
Answer: C. No, but he is liable for another $2 per share.
Explanation:
A stock is not to be issued below its par value as this is the lowest price that it is to be issued at. If a par value is $4 for instance, the stock cannot be issued for anything less than this $4.
In this scenario, the par value is $8 per share which means that Globule Inc. cannot issue this share for less than $8. Kirby in paying only $6, is still liable for $2 so that he can at least pay for the stock at its par value.