7. What amount should BLACK WIDOW charge to compensation expense for theyear December 31, 2023 as a result of the share appreciation right? *On January 1, 2021, BLACK WIDOW Company offered its top management share appreciation right with thefollowing terms:Predetermined priceNumber of sharesP 100 per share50,000 sharesService period3 yearsExercise dateJanuary 1, 2024The share appreciation right is to be exercised on January 1, 2024. The quoted prices per share are P100, 124, 151and 151 on January 1, 2021, December 31, 2021, December 31, 2022, December 31, 2023, respectively.

Company means a form of business where the share holder invest money in business in form of shares…

Answered: 7. What amount should BLACK WIDOW…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Jane Company has granted 200 share appreciation rights to each of its 300 employees on January 1, 2016. The rights are due to vest on December 31, 2017, with payment being made on December 31, 2018. During the year 2016, the company estimated that all options would vest; although only 90% of the options actually vested. Share prices are as follows: January 1, 2016 P20 December 31, 2016 24 December 31, 2017 27 December 31, 2018 301. What liability will be recorded on December 31, 2016 as a result of the share appreciation rights? 2. How much compensation expense should be recorded for the year ended December 31, 2017?
During 2020, Empresas ABC issued 4,000 preferred shares with a par value of $ 10 to $ 11 each. Each preferred share can be exchanged at the option of the holder (investor) for three common shares of ABC with a par value of $ 1. In August 2021, all preferred shares were exchanged. At that time the market value of the common stock was $ 5 per share. What amount must ABC credit to the Capital account contributed in excess of the value for common shares? a. $32,000 b. $48,000 c. 0 d. $44,000
On January 1, 2021, an entity granted to employees 10,000 share options. On January 1, 2022, the entity granted to employees an additional 20,000 share options. Date January 1, 2021 December 31, 2021 January 1, 2022 December 31, 2022 Fair value of share 20 22 25 30 The shares vest at the end of a four-year period. There are no forfeitures. What amount should be recorded as compensation expense for 2022?
An investor is considering purchasing shares in Unicorn plc & has asked for your advice. On April 1st, 2020 the share price was 662p. In the June 2020 an interim dividend of 12p was paid and in January 2021, a final dividend of 32p was paid. On March 31st, 2021 the share price was 724p. What was the TSR for the year for Unicorn Ordinary shares?
Preference sharesOn 1 March 2020, NOL issued 3 million 4% redeemable preference shares of $1 each at par andaccounted for as an equity. NOL will redeem the preference shares on 1 March 2025 at $4,408,000.The effective interest rate associated with the preference shares is 8%. On 28 February 2021, NOLpaid stated rate preference share dividend for the year to its shareholders. Discuss how each of the above events should account for in the financial statement of NOL for theyear ended 28 February 2021 with reference to relevant HKFRSs
36 On June 1, 2020, Ping Corp. purchased 10,000 of Pong’s 50,000 outstanding shares at a price of P6.00 per share. Pong had earnings of P3,000 per month during 2020 and paid dividends of P10,000 on March 1, 2020 and P12,500 on December 1, 2020. The fair value of Pong’s shares was P6.50 per share on December 31, 2020. Which statement is correct? Group of answer choices Assuming that the investment is FVTPL, the total effect on Ping’s profit or loss for the year ended December 31, 2020 is P2,500 After all closing entries for 2020 are completed, the effect of the increase in fair value on total shareholders' equity would be the same amount under the FVTOCI and FVTPL approaches. Assuming that the investment is an associate, the total effect on Ping’s profit or loss for the year ended December 31, 2020 is P3,600. Assuming that the investment is FVTOCI, the total effect on Ping’s profit or loss for the year ended December 31, 2020 is P7,500.
Please give solutions and explanation to the three questions. The correct answer is already given, just provide me with solution. "The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows: (2021) 10% Preference share, P100 par P1,500,000; Ordinary share, P20 par P1,000,000; Share premium-preference P210,000; Share premium-ordinary P400,000 (2020) 10% Preference share, P100 par P800,000; Ordinary share, P20 par P600,000; Share premium-ordinary P200,000. How many preference shares were issued during 2021?" Answer: 7,000 shares "The following are found in the trial balance of M Corporation at December 31, 2021: Authorized ordinary share, P50 par value P3,000,000; Subscription receivable P200,000; Unissued ordinary share P1,000,000; Subscribed ordinary share P500,000; Share premium ordinary P100,000. What is the total contributed capital?" Answer: P2,600,000 "The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows:…
Please answer in good accounting form. Problem 5: (Share-based compensation: Share appreciation rights) TINCTURE Company granted 300 share appreciation rights to each of the 500 employees on January 1, 2020. The rights are due to vest on December 31, 2023 with payment being made on December 31, 2023 and expire on December 31, 2024. Only 75% of the awards vested. Share price January 1, 2020 (pre-determined price) December 31, 2020, 2021, and 2022 150 180 December 31, 2023 210 December 31, 2024 190 The share appreciation rights were exercised on December 31, 2024. Requirements: J. Compute for the accrued salaries payable for the year ended: 22. 2020 23. 2021 24. 2023 25. 2024 (prior to the exercise of the rights)
On January 2, 2020, Theodora Company purchased 40,000 shares of Byzantine, Inc. stock at P100 per share. Brokerage fees amounted to P120,000. A P5 dividend per share of Byzantine, Inc. shares had been declared on December 15, 2019, to be paid on March 31, 2020 to shareholders of record on January 31, 2020. The shares are designated as FVTOCI. On December 31, 2020 the investment has a fair value of P4.200.000. How much should be recognized in the 2020 other comprehensive income related to these securities? A. 80,000 B. 200,000 C. 280,000 D. 400,000
During 2020, Maria Company purchased trading securities with the following cost and market value on December 31, 2020: Security Cost Market Value A - 1,000 shares 200,000 300,000 B - 10,000 shares 1,700,000 1,600,000 C - 20,000 shares 3,100,000 2,900,000 5,000,000 4,800,000 The entity sold 10,000 shares of Security B on January 27, 2021, for P150 per share. What amount should be reported as gain or loss on sale of trading investment in 2021?
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On August 1, 2021, Comical Company issued rights to stockholders to subscribe to additional share of its common stock. A stockholder can buy one new share for every 5 rights plus P25 cash. The rights will expire on October 1, 2021. On July 31, 2021, the market price of a share with the right attached was P50, while the market price of the right alone was P5. Comical's equity on July 31, 2021, comprised of the following: Ordinary Shares, P10 par P4,000,000 Subscribed ordinary shares 1,000,000 Share premium 600,000 Retained earnings 200,000 Treasury shares, 80,000 shares 1,750,000 What is the effect on the stockholders' equity if all but 60,000 share rights were exercised? 1,300,000 increase 1,800,000 increase 2,100,000 increase no change What is the effect on the stockholders' equity as a results of the issuance of stock rights? 200,000 increase no change…

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