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On 1/1/2003 ABC Inc. granted their CEO 500,000 shares of $2 par common stock, subject to forfeiture if employment is terminated within 2 years (these
On 1/1/2003 ABC Inc. granted their CEO 500,000 shares of $2 par common stock, subject to forfeiture if employment is terminated within 2 years (these are restricted stock). On the grant date the stock is selling for $30 per share. At the end of the first year the stock is selling for $25 per share. At the end of the restriction period the stock is selling for $20 per share. The restricted shares are delivered to the CEO on 12/31/2004. What is the necessary Journal entry on 1/1/2003
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