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Margaret [11]
2 years ago
13

Wilson Inc. developed a business strategy that uses stock options as a major compensation incentive for its top executives. On J

anuary 1, 2021, 20 million options were granted, each giving the executive owning them the right to acquire five $1 par common shares. The exercise price is the market price on the grant date—$10 per share. Options vest on January 1, 2025. They cannot be exercised before that date and will expire on December 31, 2027. The fair value of the 20 million options, estimated by an appropriate option pricing model, is $40 per option. Ignore income tax.
Assume that all compensation expense from the stock options granted by Wilson already has been recorded. Further assume that 200,000 options expire in 2014 without being exercised. The journal entry to record this would include: __________
Business
1 answer:
jasenka [17]2 years ago
5 0

Answer:

Wilson Inc. developed a business strategy that uses stock options as a major compensation incentive for its top executives. On January 1, 2021, 20 million options were granted, each giving the executive owning them the right to acquire five $1 par common shares. The exercise price is the market price on the grant date—$10 per share. Options vest on January 1, 2025. They cannot be exercised before that date and will expire on December 31, 2027. The fair value of the 20 million options, estimated by an appropriate option pricing model, is $40 per option. Ignore income tax.

Assume that all compensation expense from the stock options granted by Wilson already has been recorded. Further assume that 200,000 options expire in 2014 without being exercised. The journal entry to record this would include

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professor190 [17]

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the answer is D.a bill board

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A lease for a period of more than one year must be in writing to comply with the __________ . (a) leasehold estate (b) statute o
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(b) Statue of frauds

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7 0
3 years ago
If the signaling theory of education is correct;
Snezhnost [94]

Answer:

C. workers with more years of formal schooling are less likely to be affected by ability, effort, and chance.

Explanation:

The <em>signalling theory in education</em> tells us that employees send "signals" to their employees regarding their education. In other words, employers are willing to pay higher wages to employees with additional years of formal schooling.

This means these qualified workers have their wage primarily defined by their education level, which does not always reflect their true skill-set (the output of ability and effort).

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3 years ago
A company receives $290, of which $15 is for sales tax. The journal entry to record the sale would include a
Inga [223]

Answer:

Explanation:

Cash.         290

     Revenue.             275

     Sales tax payable.  15

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3 years ago
Assume that Sara is partly correct in her assessment of the report. Upon further​ investigation, it is determined that 10 % of t
Sidana [21]

Answer:

CRS would not benefit from dropping Donnelly’s Pizza because it would lose $43,680 in revenues and save $43,344 in costs resulting in a $336 decrease in operating income.

Explanation:

Difference: Incremental(Loss in Revenues)and Savings in Costs from dropping Donnelly’s Pizza:

Revenues $(43,680)

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Total costs 43,444

Effect on operating income (loss)

$(336)

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3 years ago
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