chegg.com/homework-help/questions-and-answers/please-help-becker-cp-question-january-1- Chegg Study Textbook Solutions Expert Q&A Practice Please help Becker cpa question On January 1, Year 1, Kiwi Computers Corp granted options to its new CEO, Morgan Price, to purchase 50,000 shares of $1.00 par value common stock for $30.00 per share. The options are exercisable after December 31. Year 3 and expire on March 31, Year 4. On the grant date, the market price of the stock was $25.00 per share. Using an acceptable valuation model, Kiwi determined that the options had a fair value of $150,000 on the grant date. The options serve as compensation for services rendered during the first three years. 1)Record the journal entry on the stock options grant date. Select the appropriate accounts from the drop-down menu in the Account column Select 'no entry if no journal entry is required on this date. Enter the amounts in the Debit and Credit columns 2 Record the journal entries for all three years to record compensation expense. Select the appropriate accounts from the drop-down menu in the Account column. Select "no entry" If no journal entry is required on this date. Enter the amounts in the Debit and Credit columns December 31, Year 1 December 31 Year 2: December 31, Year 3: Record the journal entry assuming one half of the options are exercised on January 1, Year 4. Select the appropriate accounts from the drop-down menu in the Account column. Select "no entry # no journal entry is required on this date. Enter the amounts in the Debit and Credit columns Record the journal entry for the expiration of the options not exercised on January 1, Year 4. Select the appropriate accounts from the drop-down menu in the Account column. Select "no entry "if no Journal entry is required on this date. Enter the amounts in the Debit and Credit columns Expert Answer Pred MacBook Pro BO OOO ODO 13 13 F4 95 . A * $ 4 2 % 5 3 & 7 6 8 chegg.com/homework-help/questions-and-answers/please-help-becker-cp-question-january-1- Chegg Study Textbook Solutions Expert Q&A Practice Please help Becker cpa question On January 1, Year 1, Kiwi Computers Corp granted options to its new CEO, Morgan Price, to purchase 50,000 shares of $1.00 par value common stock for $30.00 per share. The options are exercisable after December 31. Year 3 and expire on March 31, Year 4. On the grant date, the market price of the stock was $25.00 per share. Using an acceptable valuation model, Kiwi determined that the options had a fair value of $150,000 on the grant date. The options serve as compensation for services rendered during the first three years. 1)Record the journal entry on the stock options grant date. Select the appropriate accounts from the drop-down menu in the Account column Select 'no entry if no journal entry is required on this date. Enter the amounts in the Debit and Credit columns 2 Record the journal entries for all three years to record compensation expense. Select the appropriate accounts from the drop-down menu in the Account column. Select "no entry" If no journal entry is required on this date. Enter the amounts in the Debit and Credit columns December 31, Year 1 December 31 Year 2: December 31, Year 3: Record the journal entry assuming one half of the options are exercised on January 1, Year 4. Select the appropriate accounts from the drop-down menu in the Account column. Select "no entry # no journal entry is required on this date. Enter the amounts in the Debit and Credit columns Record the journal entry for the expiration of the options not exercised on January 1, Year 4. Select the appropriate accounts from the drop-down menu in the Account column. Select "no entry "if no Journal entry is required on this date. Enter the amounts in the Debit and Credit columns Expert Answer Pred MacBook Pro BO OOO ODO 13 13 F4 95 . A * $ 4 2 % 5 3 & 7 6 8
