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Problem 1 Share based compensation 1.(13 points) On January 1, 2018, Curry Inc. granted restricted stock units (RSUS) representing 40 million of its $1 par

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Problem 1 Share based compensation 1.(13 points) On January 1, 2018, Curry Inc. granted restricted stock units (RSUS) representing 40 million of its $1 par common shares to executives, subject to forfeiture if employment is terminated within four years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. The common shares had a market price of $10 per share on the grant date. At the date of grant, Curry anticipated that 5% of the recipients would leave the firm prior to vesting. Ignore taxes. Required: 1. Prepare the appropriate journal entry to record compensation expense on December 31, 2018. Show calculations. 2. Prepare the appropriate journal entry to record compensation expense on December 31, 2019. Show calculations. 3. During 2020 third year, Curry revised its estimate of forfeitures from 5% to 10%. Prepare the appropriate journal entry to record compensation expense on December 31, 2020. Show calculations. 4. Prepare the appropriate journal entry to record compensation expense on December 31, 2021. Show calculations. Problem 1 Share based compensation 1.(13 points) On January 1, 2018, Curry Inc. granted restricted stock units (RSUS) representing 40 million of its $1 par common shares to executives, subject to forfeiture if employment is terminated within four years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. The common shares had a market price of $10 per share on the grant date. At the date of grant, Curry anticipated that 5% of the recipients would leave the firm prior to vesting. Ignore taxes. Required: 1. Prepare the appropriate journal entry to record compensation expense on December 31, 2018. Show calculations. 2. Prepare the appropriate journal entry to record compensation expense on December 31, 2019. Show calculations. 3. During 2020 third year, Curry revised its estimate of forfeitures from 5% to 10%. Prepare the appropriate journal entry to record compensation expense on December 31, 2020. Show calculations. 4. Prepare the appropriate journal entry to record compensation expense on December 31, 2021. Show calculations

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