A company is a publicly held corporation. at the beginning of year 1 the company issues 1
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A company is a publicly held corporation. at the beginning of year the company issues stock options to its president. they can be exercised at an exercise price of $ per share, but only if the president works until the end of year she then has two additional years to actually make the conversion. the price of the stock on the first dau pf year us $ and goes up $ per month thereafter. a computer option pricing model is used to determine the value of the option on january year one $ december year one $ and december year $ the company uses fair value method of accounting for stock options. how much expense shoud the company recognize for year in connection with this award?
Related Book For
International Financial Reporting and Analysis
ISBN: 978-1408075012
5th edition
Authors: David Alexander, Anne Britton, Ann Jorissen
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