Indicate whether the statement is TRUE OR FALSE, and bi Whether TRUE or FALSE provide at least three (3) conseraons rexplanations) for your determination of T/F (8 POINTS EACH OR 48 TOTAL POINTS) 1 in determining diluted EPS under water options (Le not in-the-money) are always diusive 2 The settlement rate used in computing the Interest Cost for pension expense and Peo may be a diffecent rate from the rate used for the estmated Return on Plan Assets The ngher the rate used for settlement caiculations, the lower the required PBO estimated by an actuary 3 A company considered to have a complex capital structure has equity financial instruments 4 A company that has accumulated gains/losses in OCI for pension plan financial postion 5 A company can record revenue before/atafter delivery The installment-sales and cost prererred or opons/warrants) or debt issues that have a stock conversion feature will use a comdor to determine whether amortization into pension expense is required. recovery methods are two approaches to recording revenue before delivery 6 Select the correct answer for each of the following two multiple choice questions Compensation expense resulting from a compensatory stock option plan is generally a recognized in the period of exercise b recognized in the period of the grant .allocated to the periods benefited by the employee's required servo.. d allocated over the periods of the employee's service life to retirement u. On January 2, 2015, Worth Co. issued at par $1,000,000 of 7% convertible bonds. converted during 2015 2015 Woth's 2015 retiname was $450,000 and the income tar rate was 30 s convertible into 20 shares of common stock. No bonds were 5 Worth had 200,000 shares of common stock outstanding during Worth's diluted eamings per share for 2015 would be (rounded to the nearest penny) a. $%2.50 b $227 . $2.25. d. $2.36 Indicate whether the statement is TRUE OR FALSE, and bi Whether TRUE or FALSE provide at least three (3) conseraons rexplanations) for your determination of T/F (8 POINTS EACH OR 48 TOTAL POINTS) 1 in determining diluted EPS under water options (Le not in-the-money) are always diusive 2 The settlement rate used in computing the Interest Cost for pension expense and Peo may be a diffecent rate from the rate used for the estmated Return on Plan Assets The ngher the rate used for settlement caiculations, the lower the required PBO estimated by an actuary 3 A company considered to have a complex capital structure has equity financial instruments 4 A company that has accumulated gains/losses in OCI for pension plan financial postion 5 A company can record revenue before/atafter delivery The installment-sales and cost prererred or opons/warrants) or debt issues that have a stock conversion feature will use a comdor to determine whether amortization into pension expense is required. recovery methods are two approaches to recording revenue before delivery 6 Select the correct answer for each of the following two multiple choice questions Compensation expense resulting from a compensatory stock option plan is generally a recognized in the period of exercise b recognized in the period of the grant .allocated to the periods benefited by the employee's required servo.. d allocated over the periods of the employee's service life to retirement u. On January 2, 2015, Worth Co. issued at par $1,000,000 of 7% convertible bonds. converted during 2015 2015 Woth's 2015 retiname was $450,000 and the income tar rate was 30 s convertible into 20 shares of common stock. No bonds were 5 Worth had 200,000 shares of common stock outstanding during Worth's diluted eamings per share for 2015 would be (rounded to the nearest penny) a. $%2.50 b $227 . $2.25. d. $2.36
