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0 Problem #2 (10 minutes; 15 points) Use the information below to answer the following questions about accounting for Share Appreciation Rights (SARS). Show your
0 Problem #2 (10 minutes; 15 points) Use the information below to answer the following questions about accounting for Share Appreciation Rights (SARS). Show your work to enable me to provide you with partial credit, and clearly label your answer. On January 1, 2016, Byrde Enterprises granted share appreciation rights (SARs) to Ruth Langmore. These rights entitle Langmore to receive cash equal to the excess of the quoted market price over a $50 option price for 20,000 shares of the company's common stock on the exercise date. The service period is three years. Langmore exercises her rights on December 31, 2019. The fair value per SAR was: 12/31/2016: $3.75 12/31/2017: $6.75 12/31/2018: $5.25 12/31/2019: $9.00 The market price of the common stock was $59.00 on December 31, 2019.
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