B. On January 2, 2018, the shareholders ofMari Company approved a planthat grantsthe company's four executivesoptions to purchase 2,000 shares each of the company's P50 par valueordinary share. Theoptions are grantedon January 2, 2018 and may be exercisedanytimefrom January 1, 2020 to December 31, 2020. Based onan option-pricing model used by the enterprise, the fair value of the option on January 2, 2018 is P35. The option price per share is P60 and themarket price of the ordinary shares on January 2, 2018 is P90 per share.

On June 30, 2019, an executive with option to purchase 2,000 shares decided to migrate to Canada and resigned from Mari Company. On March 31, 2020, all of the three remaining executives exercised their options.

If during the vesting period, some options are cancelled due to non-completion of the minimum required service period, as in this example, the total value of the remaining options that has not been charged to expense shall be recognized as expense over the remaining number of years in the vesting period.

Required: Entries to record the above transactions.

The entity shall make no subsequent adjustment to total equity after the vesting date, even if someof the options that already vest are cancelled before their expiration date. However, the requirement ofPFRS /IFRS 2 does not preclude the entity from recognizing a transfer within equity.

C. On January 2, 2018, the shareholders ofMari Company approved a planthat grantsthe company's four executivesoptions to purchase 2,000 shares each of the company's P50 par valueordinary share. Theoptions are grantedon January 2, 2018 and may be exercisedanytimefrom January 1, 2020 to December 31, 2020. Based onan option-pricing model used by the enterprise, the fair value of the option on January 2, 2018 is P35. The option price per share is P60 and themarket price of the ordinary shares on January 2, 2018 is P90 per share

Assume that all four executives who have been granted the share options stayed with the company until the end of 2019. Hence, all the options vested. On June 30, 2020, one of the executives resigned from the company without exercising the options. Thus, 2,000 options were cancelled. All the remaining options were exercised on December 31, 2020

Required:Entries to record the above transactions.

D. Camil Company granted 100 shares option to eachof its 500 employees on January 1, 2018. The option plan allows the employees to purchase a share of the entity's P100 par value ordinary share capital at P120. On January 1, 2018, the fair value of each optionwas determinedto be P24 based on option pricing modelused by the company. Theoption plan requires the employees receiving the options to be in the employ of the company at least until December 31, 2020. Options are exercisable startingJanuary 1, 2021 and expire onDecember 31, 2022.

Actual and revised estimates of employees leaving the company during 2018, 2019 and 2020 are as follows:

2018: 25 employees left; 30 more employees are expectedto leave before December 31, 2020

2019:20 employees left; 15 more employees are expected to leave before December 31, 2020.

2020:10 employees left.

Of the 44,500 options vested, 44,000 were exercised on December 31, 2021 and the remainder lapsed.

Required:

a. Compute the amount of compensation expense to be recognized, as a result of the share option plan during 2018, 2019, and 2020.

b. Journal entries to the above transactions from 2018 to 2022.