Answer for First Question :
20X1 Contra-equity - Unearned (deferred) Compensation 1
To Retained earnings - SBC expense
( If company not get Profit grow by 50% or more )
20X2 Retained earnings - SBC expense
To Contra-equity - Unearned (deferred) Compensation
( If company get Profit grow by 50% or more )
Answer for Question 2
stock based compensation Under Restricted stock
Note: Contra-equity - Unearned (deferred) Compensation 1..
To Common Stock & APIC – Common Stock2
( At the time of Initial Grant i.e at the Proposal )
FASB Codification about restricted stock. The company granted restricted stock to its CEO on 1/1/20X1. Service...
The Peach Corporation provides restricted stock to certain executives. Under the plan, the company granted 30 million shares on January 1, 2018, which vest in four years. The fair value of the shares is $14.4. No forfeitures are anticipated. Ignore taxes. Required: 1. Determine the total compensation cost pertaining to the restricted stock. 2. & 3. Prepare the appropriate journal entries (if any). Record the award of restricted stock on Jan 1, 2018 Record compensation expense on Dec 31, 2018
The Peach Corporation provides restricted stock to certain executives. Under the plan, the company granted 30 million shares on January 1, 2018, which vest in four years. The fair value of the shares is $13.3. No forfeitures are anticipated. Ignore taxes. Required: 1. Determine the total compensation cost pertaining to the restricted stock. 2. & 3. Prepare the appropriate journal entries (if any). 2) Record the award of restricted stock on January 1, 2018. 3) Record compensation expense on December...
E16 13B (L0 3) (Accounting for Restricted Stock) Holt Company issues 10,000 shares of restricted stock to its new CEO, on January 1, 2020. The stock has a fair value of $260,000 on this date. The service period related to this restricted stock is 5 years. Vesting occurs if the CEO stays with the company for 5 years. The par value of the stock is $1. At December 31, 2021, the fair value of the stock is $180,000. Instructions (a)...
Q2. On January 01, 2021, Alex Company granted restricted stock to five executives. Each executive received 1.500 shares of Alex common stock. The restricted shares vest on January 23; thus, the restricted shares are compensation for services rendered during 2021 and 2022. The restricted shares had a grant date value of share x 1,500 shares per executive x 5 executives). On February 18, 2022, one executive forfeited her restricted shares because she left Alex to join another company's executive team....
Q2. On January 01, 2021, Alex Company granted restricted stock to five executives. Each executive received 1,500 shares of Alex common stock. The restricted shares vest on January 01, 2023; thus, the restricted shares are compensation for services rendered during 2021 and 2022. The restricted shares had a grant date value of $75,000 (= $10 fair value per common share x 1,500 shares per executive x 5 executives). On February 18, 2022, one executive forfeited her restricted shares because she...
Q2. On January 01, 2021, Alex Company granted restricted stock to five executives. Each executive received 1,500 shares of Alex common stock. The restricted shares vest on January 01, 2023; thus, the restricted shares are compensation for services rendered during 2021 and 2022. The restricted shares had a grant date value of $75,000 (= $10 fair value per common share x 1,500 shares per executive x 5 executives). On February 18, 2022, one executive forfeited her restricted shares because she...
Q2. On January 01, 2021, Alex Company granted restricted stock to five executives. Each executive received 1,500 shares of Alex common stock. The restricted shares vest on January 01, 2023; thus, the restricted shares are compensation for services rendered during 2021 and 2022. The restricted shares had a grant date value of $75,000 (= $10 fair value per common share x 1,500 shares per executive x 5 executives). On February 18, 2022, one executive forfeited her restricted shares because she...
Cullumber Company issues 4,100 shares of restricted stock to its CFO, Dane Yaping, on January 1, 2017. The stock has a fair value of $118,000 on this date. The service period related to this restricted stock is 4 years vesting occurs if Yaping stays with the company for 4 years. The par value of the stock is $5. At December 31, 2018, the fair value of the stock is $151,000. (a) Prepare the journal entries to record the restricted stock on...
Sunny Side, Inc. granted its CEO 5,000 options on July 1, 2016 with an exercise price of $25. The market value of options based on an option pricing model is $300,000. The market price of the stock on July 1, 2016 was $30 per share. The vesting period is two years and options expire on July 1, 2021. The fiscal year end is December 31. If instead of issuing the options the company issued restricted stock with a three-year vesting...
Swifty Company issues 4,400 shares of restricted stock to its CFO, Dane Yaping, on January 1, 2017. The stock has a fair value of $123,000 on this date. The service period related to this restricted stock is 4 years. Vesting occurs if Yaping stays with the company for 4 years. The par value of the stock is $5. At December 31, 2018, the fair value of the stock is $133,000. (a) Prepare the journal entries to record the restricted stock...