How much is the compensation expense for 2022?P 140,000P 400,000P 320,000P 160,000 On January 1, 2020, ABC Co. granted 100 share appreciation rights to each of its 200 officers,provided that they stay in the company for the next three years. All of the employeesremained for the three-year vesting period. The fair value and intrinsic value of the shareappreciation rights are as follows:Fair ValueIntrinsic ValueDecember 31, 2020December 31, 2021December 31, 2022December 31, 2023December 31, 202415182015212025The intrinsic value represents the actual amount paid to the officers and is debited tocompensation expense. Any fair value remeasurement of the SAR payable is adjusted throughcompensation expense. Exercise of the SAR were as follows:December 31, 2022: 40 employeesDecember 31, 2023: 100 employeesDecember 31, 2024 (end of exercise period): 60 employees

On January 1, 2020, ABC Co. granted 100 share appreciation rights to each of its 200 officers, provided that they stay in the company for the next three years. All of the employees remained for the three-year vesting period. The fair value and intrinsic value of the share appreciation rights are as follows: Fair Value Intrinsic Value December 31, 2020 December 31, 2021 15 18 December 31, 2022 December 31, 2023 20 15 21 20 December 31, 2024 25 The intrinsic value represents the actual amount paid to the officers and is debited to compensation expense. Any fair value remeasurement of the SAR payable is adjusted through compensation expense. Exercise of the SAR were as follows: December 31, 2022: 40 employees December 31, 2023: 100 employees December 31, 2024 (end of exercise period): 60 employees

On January 1, 2020, ABC Co. granted 100 share appreciation rights to each of its 200 officers, provided that they stay in the company for the next three years. All of the employees remained for the three-year vesting period. The fair value and intrinsic value of the share appreciation rights are as follows: Fair Value Intrinsic Value December 31, 2020 December 31, 2021 15 18 December 31, 2022 December 31, 2023 20 15 21 20 December 31, 2024 25 The intrinsic value represents the actual amount paid to the officers and is debited to compensation expense. Any fair value remeasurement of the SAR payable is adjusted through compensation expense. Exercise of the SAR were as follows: December 31, 2022: 40 employees December 31, 2023: 100 employees December 31, 2024 (end of exercise period): 60 employees

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization

Section: Chapter Questions

Problem 60P

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On January 2, 2019, Brust Corporation grants its new CFO 2,000 restricted share units. Each of the time-vested restricted share units entitles the CFO to receive one share of Brust common stock if she remains an employee of the company for 4 years. On January 2, 2019, shares of Brusts 1 par value common are trading at 29.50 per share. The company estimates that the CFO will complete all 4 years of required service with the company. Prepare the journal that Brust should make each year to account for the restricted share units.
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