Share Appreciation Rights Instructions Chart of Accounts General Journal Analysis Instructions Holden Company has a share appreciation rights plan for its key executives. This SAR plan gives each qualifying executive the right to receive cash, stock, or a combination of both equal to the excess of the quoted market price over the option price of the company's $10 par common stock on the date of exercise. The key characteristics and requirements of this SAR plan are as follows: Option price: Market price on date of grant Service period: 4 years Exercise limit: Within 6 years after the service period has expired On January 1, 2015, Sarah Mendelson was granted SARs to 10,000 shares of the company's common stock under the requirements of the SAR plan. She is expected to complete the service period and receive cash on the date of exercise. On December 31, 2019, Mendelson exercised her rights to receive $27,000 cash and the remainder in common stock. The fair value per SAR was as follows: 12 1 15, s4123ite, sant 12/31/17, $3.80; 12/31/18, $5.50; and 12/31/19, S6.00. The quoted market price per share of common stock was $16 on January 1, 2015, and $22 on December 31, 2019. Required: 1. Prepare a schedule to compute the compensation expense related to this SAR plan for 2015 through 2019. 2. Prepare the journal entries related to the SAR plan on December 31, 2015, through December 31, 2019. General Journal Prepare the journal entries related to the SAR plan on December 31, 2015, through December 31, 2019. Additional Instructions PAGE 2015 PAGE 2016 PAGE 2017 PAGE 2018 PAGE 2019 GENERAL JOURNAL DATE ACCOUNT TITLE POST REF. DEBIT CREDIT Analysis Holden Company Compensatory Share Option Computations 2015-2019 Estimated Total Accrued Fair Value per SAR Total Compensation Percent Accrued CompensationCompensation Compensation Expense to Date Date Cost Expense to Date Expense 212/31/15 12/31/16 12/31/17 12/31/18 612/31/19