Chapter 19, Problem 19.1BYP

(1)

To determine

Restricted stock: These are the share-based awards provided as compensation plans provided as incentives to the employees which include right to receive the shares and are restricted to employees’ extended tenure. The two variants of restricted stock are restricted stock awards, and restricted stock units.

Restricted stock awards: These are the shares which are granted in the name of the employee but the ownership is retained by company. But the employee possesses the rights as shareholders, with some restriction on forfeiture.

(1)

To mention: The type of ‘incentive’ granted by restricted stock of Corporation M

(2)

To determine

The compensation expense of awards for 2015.