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Arte-miy333 [17]
3 years ago
7

On January 1, year 1, a company grants 5,000 nonqualified stock options to an employee with a strike price of $3 per option and

fair value of $8 per option. All of the options vest at the end of five years from the grant date. At the end of year 1, the company's stock price was $10 per share. What amount of annual stock compensation cost should the company report for year 1?
Business
1 answer:
Sedaia [141]3 years ago
4 0

Answer:

$8,000

Explanation:

The following compensation cost shall be recognised in the accounts of the Company as at December 31, Year 1 in respect of employee share options:

5,000*8*1/5=$8,000

In the above calculation, 5000 represents number of share granted to employee,8 represent the fair value of the option at the grant dated and 1/5 represent first year of the 5-year requisite service condition for the exercise of share options.

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Period of time when unemployment rises and businesses begin to produce less and less
MakcuM [25]

Answer:

Cyclical unemployment

Explanation:

The process of this happening is known as Cyclical unemployment. This is something that is common in every country around the world and tends to happen due to many reasons. Each countries economic cycle is different and follows different ranges. The United States Economic Cycle tends to happen roughly every 8 years, although this is not 100% guaranteed. When it does happen Stock Markets tend to crash which is what causes a chain reaction that leads to unemployment rises and businesses producing less and less as there is less consumer spending.

5 0
3 years ago
Answer the question based on the following supply and demand schedules in units per week for a product.Price Quanity Demanded Qu
xeze [42]

Answer: equilibrium price is $30

Explanation: price decreased steadily at $10 and demand increased by $40(the lower the price the higher the demand) while supply decreased by $60(the lower the price the lower the supply) From the table equilibrium price equal $30 where demand equal supply at 220 units.

4 0
3 years ago
WASHINGTON, Jan 29 (Reuters)—Wright Medical Group, a maker of reconstructive implants for knees and hips, on Tuesday filed to se
Alika [10]

Answer:

The journal entry is as follows:

Cash A/c                                                          Dr.  $51.45

To Paid in capital in excess of par value A/c                   $51.42

To Common shares A/c                                                     $0.03

(To record the sale of the shares)    

Note: The amount mentioned in debit and credit column in the above journal entry are in the millions of dollar.

Workings:

Cash = Shares sold × shares closing price

        = $3 million × $17.15

        = $51.45 million

Common shares = Shares sold × Par value per share

                            = $3 million × $0.01

                            = $0.03 million

Paid in capital in excess of par value = Cash - Common shares

                                                              = $51.45 - $0.03

                                                              = $51.42

4 0
3 years ago
Who is the only artist to refuse to accept a grammy award?
Mariulka [41]
Answer:
The female artist Sinead O'Connor.

Explanation
Sinead O'Connor refused to accept the Grammy Award for her album in 1990 with the title "I do not want what I haven't got".
The reason that she gave for refusing the award was that the show that accompanied the award was too commercialized and materialistic. 

The Grammy Awards began in 1959. A recipient of the award is given a gold plated trophy in the shape of a gramophone, which was an early recording device that followed the invention of the phonograph by Thomas Edison. 
8 0
4 years ago
Which of the following is a potential advantage to working in a commercial fitness facility?A. Can work from homeB. In-house emp
nikklg [1K]

Answer: Option B

           

Explanation: In simple words, commercial fitness facility refers to the gymnasiums an other such facility centers where individuals can go and work out for a better health and fitness. In house training refers to the knowledge that an employee gains while working for an organisation.

Employees working in such facility centers have the advantage to learn new techniques and exercises while working and getting paid. These facilities core operations relates to training their clients and making them more healthy thus they have to train their employees properly so they can handle the clients.

While doing so employee would get an in house training for the work that he or she is going to perform in the future,

7 0
3 years ago
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