There are 5 questions in the question part and for each question write 2 paragraphs.

On January 1, 2021, G Corp. granted stock options to key employees for the purchase of 87,000 shares of the company's common sto

vredina [299]

Answer:

the compensation expense for the year is $327,120

Explanation:

The computation of the compensation expense for the year is given below:

= (Number of stock options to be purchased × (1 - forefeiture percentage) × fair value per option)) ÷ 2

= (87,000 shares × (1 - 0.06) × $8)) ÷ 2

= $327,120

Hence, the compensation expense for the year is $327,120

The same should be considered and relevant too

8 0

3 years ago

Rise Against Corporation is comparing two different capital structures: an all equity plan (Plan A) and a levered plan (Plan B).

Thepotemich [5.8K]

Answer:

a. Plan A

b. Plan B

c. $638,400

Explanation:

The formula to compute the earning per share is shown below:

Earning per share = (Net income - interest) ÷ (Number of shares)

a. For Plan A

EPS = ($500,000) ÷ (210,000 shares) = $2.38

For Plan B

EPS = ($500,000 - $182,400) ÷ (150,000 shares) = $2.12

The interest is computed below:

= $2.28 million × 8%

= $182,400)

Plan A has higher EPS

b. For Plan A

EPS = ($750,000) ÷ (210,000 shares) = $3.57

For Plan B

EPS = ($750,000 - $182,400) ÷ (150,000 shares) = $3.78

The interest is computed below:

= $2.28 million × 8%

= $182,400)

Plan B has higher EPS

c. Break-even EBIT

(EBIT) ÷ (Number of shares) = (EBIT - Interest) ÷ Number of shares

(EBIT) ÷ (210,000) = (EBIT - $182,400) ÷$150,000

After solving this,

The EBIT would be $638,400

3 0

3 years ago

Lauren is the owner of a bakery. Last year, her total revenue was $145,000, her rent was $12,000, her labor costs were $65,000,

Eddi Din [679]

Answer:

So if you subtract the cost of everything for her bakery she still comes out with making 53,000, so if she left she would not earn any profit because she would be making the same.

7 0

3 years ago

Samuelson will produce 20,000 units in January using level production. If each unit costs $500 to manufacture, what is the dolla

Likurg_2 [28]

Answer:

The dollar value of ending inventory is $7.500.000

Explanation:

To calculate the dollar value of ending inventory you need to use the next formula:

End inventory= (Beginning inventory + production - sales).$

In this case:

- Beginning inventory: 10.000 units

- January Production: 20.000 units

- Sales: 15.000 units

End inventory= 10000+20000-15000

End inventory= 15.000 units

Dollar value= 150000 . $500= $7.500.000

5 0

3 years ago

When managers disregard ethical concerns, the likely result is:?

sergeinik [125]

The most likely result is that there would be a general mistrust because they are disregarding what you need.

5 0

4 years ago