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Question is include on the attachment...Please answer part a, b, and c. Thanks Exercise 16-29 On December 31, 2010, Beckford Company issues 124,000 stock-appreciation rights

Question is include on the attachment...Please answer part a, b, and c.

Thanks

image text in transcribed Exercise 16-29 On December 31, 2010, Beckford Company issues 124,000 stock-appreciation rights to its officers entitling them to receive cash for the difference between the market price of its stock and a pre-established price of $9. The fair value of the SARs is estimated to be $5 per SAR on December 31, 2011; $2 on December 31, 2012; $10 on December 31, 2013; and $9 on December 31, 2014. The service period is 4 years, and the exercise period is 7 years. (a) Prepare a schedule that shows the amount of compensation expense allocable to each year affected by the stock-appreciation rights plan. (If the compensation decreases from prior year enter the amount as a negative number in the table e.g. -25,000 or (25,000).) Date Cumulative Compensat Compensat ion ion Fair Recognizab Percentage Accrued to Expense Expense Expense Expense Value le Accrued Date 2011 2012 2013 2014 $ $ $ $ $ $ $ 12/31/1 1 % 12/31/1 2 % 12/31/1 3 % $ 12/31/1 4 % (b) Prepare the entry at December 31, 2014, to record compensation expense, if any, in 2014. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit (c) Prepare the entry on December 31, 2014, assuming that all 124,000 SARs are exercised. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit

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