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Sunland Corp., a public company, adopted a stock option plan on November 3 0 , 2 0 2 3 , that designated 7 0 ,
Sunland Corp., a public company, adopted a stock option plan on November that designated
common shares as available for the granting of options to officers of the corporation at an exercise price of $ a
share. The market value was $ a share on November
On January options to purchase shares were granted to the president, Don Pedro: for
services to be rendered in and for services to be rendered in Also on that date, options to
purchase shares were granted to the vicepresident, Beatrice Leonato: for services to be
rendered in and for services to be rendered in The shares' market value was $ a share on
January The options were exercisable for a period of one year following the year in which the services
were rendered. On January the value of the options was estimated at $
In neither the president nor the vicepresident exercised their options because the shares' market price
was below the exercise price. The shares' market value was $ a share on December when the options
for services lapsed.
On December both the president and vicepresident exercised their options for and
shares, respectively, when the market price was $ a share. The company's year end is December
Prepare the necessary journal entries in when the stock option plan was adopted, in when the
options were granted, in when the options lapsed, and in when the options were exercised. Credit
account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in
the order presented in the problem. If no entry is required, select No Entry" for the account titles and enter O for the
amounts. Do not round intermediate calculations. Round answers to decimal places, eg List all debit entries
before credit entries.
Please, prepare the journal entries with the right dates, account titles and show workings
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