Financial Reporting

On January 1, 2020 Company D established a cash settled share appreciation plan for 50executives of the company.

Here are the relevant details:

• Each executive received 5,000 rights
• The benchmark price established was $ 20.
• Each executive had the right to receive cash for share appreciation over the benchmark price times the number of rights issued to them.
• The plan expires on December31, 2024
• The rights vest after 3 years (December 31, 2022)
• At the end of 2020 2 executives leave and it is estimated that 4 more will leave before the vesting date.
• At the end of 2021 2 more executives leave and it is now estimated that 10 more will leave before the vesting date.
• At the end of 2022 10 more executives leave.
• At the end of 2022 18 executives exercise their rights
• At the end of 202312 executives exercise their rights
• At the end of 2024 6 executives exercise their rights

SAR fair value and market price information is as follows:

• December 31, 2020 FV=$3.60 MP = $ 21.40
• December 31, 2021 FV=$3.30 MP = $ 22.10
• December 31, 2022 FV=$4.10 MP = $ 22.75
• December 31, 2023 FV=$5.10 MP = $ 24.00
• December 31, 2024 FV=$3.50 MP = $ 23.50

Question:

Using IFRS prepare journal entries for the years 2020to 2024including the deferred tax entries for each year.Assume a tax rate of 40% for all years.