Question

Mann Inc. offers a restricted stock award plan to its vice presidents. On January 1, 2018,...

Mann Inc. offers a restricted stock award plan to its vice presidents. On January 1, 2018, the corporation granted 10 million of its $5 par common shares, subject to forfeiture if employment is terminated within two years. The common shares have a market value of $10.3 per share on the date the award is granted.

Required:
1. Assume that no shares are forfeited. Determine the total compensation cost pertaining to the restricted shares.
2. Prepare the appropriate journal entries related to the restricted stock through December 31, 2019.

req. 1

Assume that no shares are forfeited. Determine the total compensation cost pertaining to the restricted shares. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)
Total compensation cost million

req. 2

journal 1.Record the compensation expense paid for restricted stock on December 31, 2018.

journal 2.Record the compensation expense paid for restricted stock on December 31, 2019.

journal 3.Record the issuing of shares at December 31, 2019.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #2

answered by: anonymous
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January 1, 2018, the company granted 24 million of its $1 par common shares, subject to forfeiture if employment is terminated within two years. The common shares have a market price of $8 per share on the grant date. Required: 1. Determine the total compensation cost pertaining to the restricted shares. 2. Prepare the appropriate journal entries related to the restricted stock through December 31,...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January 1, 2018, the company granted 15 million of its $1 par common shares, subject to forfeiture if employment is terminated within two years. The common shares have a market price of $6 per share on the grant date. Required: 1. Determine the total compensation cost pertaining to the restricted shares. 2. Prepare the appropriate journal entries related to the restricted stock through December 31,...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January 1, 2021, the company granted 22 million of its $1 par common shares, subject to forfeiture if employment is terminated within two years. The common shares have a market price of $7 per share on the grant date. Required: 1. Determine the total compensation cost pertaining to the restricted shares. 2. Prepare the appropriate journal entries related to the restricted stock through December 31,...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January...
Allied Paper Products, Inc., offers a restricted stock award plan to its vice presidents. On January 1, 2021, the company granted 20 million of its $1 par common shares, subject to forfeiture if employment is terminated within two years. The common shares have a market price of $5 per share on the grant date. Required: 1. Determine the total compensation cost pertaining to the restricted shares. 2. Prepare the appropriate journal entries related to the restricted stock through December 31,...
On January 1, 2018, Liberty Company granted restricted stock units (RSUs) representing 40 million of its...
On January 1, 2018, Liberty Company granted restricted stock units (RSUs) representing 40 million of its $1 par common shares to executives. The RSUs are subject to forfeiture if employment is terminated within four years. The company will distribute the shares after the recipients of the RSUs satisfy the vesting requirement. The common shares had a market price of $10 per share on the grant date. At the date of grant, Liberty anticipated that 5% of the recipients would leave...
On January 1, 2021, M.T. Toombe Mausoleum granted restricted stock units (RSUs) representing 60 million of...
On January 1, 2021, M.T. Toombe Mausoleum granted restricted stock units (RSUs) representing 60 million of its $1 par common shares to executives, subject to forfeiture if employment is terminated within three years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. The common shares had a market price of $15 per share on the grant date. At the date of grant, Toombe anticipated that 5% of the recipients would leave the firm...
Magnetic-Optical Corporation offers a variety of share-based compensation plans to employees. Under its restricted stock unit...
Magnetic-Optical Corporation offers a variety of share-based compensation plans to employees. Under its restricted stock unit plan, the company on January 1, 2021, granted restricted stock units (RSUs) representing 19 million of its $1 par common shares to various division managers. The shares are subject to forfeiture if employment is terminated within three years. The common shares have a market price of $6.00 per share on the grant date. Management’s policy is to estimate forfeitures.    Required: 1. Determine the...
Magnetic-Optical Corporation offers a variety of share-based compensation plans to employees. Under its restricted stock unit...
Magnetic-Optical Corporation offers a variety of share-based compensation plans to employees. Under its restricted stock unit plan, the company on January 1, 2021, granted restricted stock units (RSUs) representing 24 million of its $1 par common shares to various division managers. The shares are subject to forfeiture if employment is terminated within three years. The common shares have a market price of $4.50 per share on the grant date. Management’s policy is to estimate forfeitures. Required: 1. Determine the total...
On January 1, 2018, David Mest Communications granted restricted stock units (RSUs) representing 25 million of...
On January 1, 2018, David Mest Communications granted restricted stock units (RSUs) representing 25 million of its $1 par common shares to executives, subject to forfeiture if employment is terminated within three years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. The common shares had a market price of $18 per share on the grant date. At the date of grant, Mest anticipated that 5% of the recipients would leave the firm...
On January 1, 2021, Tru Fashions Corporation awarded restricted stock units (RSUs) representing 19 million of...
On January 1, 2021, Tru Fashions Corporation awarded restricted stock units (RSUs) representing 19 million of its $1 par common shares to key personnel, subject to forfeiture if employment is terminated within three years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. On the grant date, the shares had a market price of $5.10 per share. Required: 1. Determine the total compensation cost pertaining to the RSUs. 2. Prepare the appropriate journal...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT