Beretta, Inc. grants options that permit executives to acquire 120,000 of the company's
$2.00 par value stock over the next four years, but not before the vesting period of two years
On January 1, 2016, a value of $2.22 per share is placed on the value of the stock options
that will allow these executives to purchase shares of stock at $7.71 per share
Unexpected turnover during 2017 caused a forfeiture of 7.00% of the stock option value
On February 1, 2018, 40,000 of the options were exercised when the market value was $32.00 a share
On January 1, 2020, the remaining options were never exercised and allowed to expire
Record the general journal entry for January 1, 2020.
(forfeiture is based upon the price of the options)