Darwin Company granted 300 share appreciation rights to each of the 3,000 employees on January 1, 20x2. The management estimated that 90% of the awards will vest on December 31, 20x4. The fair value of each share appreciation right on December 31, 20x2 is 30. What is the fair value of the Liability for the share appreciation rights on December 31, 20x2?
Darwin Company granted 300 share appreciation rights to each of the 3,000 employees on January 1, 20x2. The management estimated that 90% of the awards will vest on December 31, 20x4. The fair value of each share appreciation right on December 31, 20x2 is 30. What is the fair value of the Liability for the share appreciation rights on December 31, 20x2?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Darwin Company granted 300 share appreciation rights to each of the 3,000 employees on January 1, 20x2. The management estimated that 90% of the awards will vest on December 31, 20x4. The fair value of each share appreciation right on December 31, 20x2 is 30. What is the fair value of the Liability for the share appreciation rights on December 31, 20x2?
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