Haynna Company on Ján. 1, 2014 grantéd 100 sharé áppréčiátión rights tó éách óf itš 1,000 employees on condition that the employees remain it the company for the next three years. No employees left the entity during the three-year vesting period. The employees exercised their share appreciation rights as follows: 250 employees on Dec. 31, 2016, 250 employees on Dec. 31, 2016 and 500 employees for Dec. 31, 2017. The Market Value and intrinsic value of the share appreciation right are as follows: Date Market Value Intrinsic Value Dec. 31, 2014 15 Dec. 31, 2015 18 Dec. 31, 2016 20 15 Dec. 31, 2017 21 20 Dec. 31, 2018 25 Prepare all indicated entries for 2014 to 2018 in connection with the share appreciation rights. The intrinsic value of the share appreciation right on the date of exercise is the amount paid out to the employees.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
100%
Haynna Company on Jan. 1, 2014 granted 100 share appreciation rights to each of its 1,000
employees on condition that the employees remain it the company for the next three years.
No employees left the entity during the three-year vesting period. The employees exercised
their share appreciation rights as follows: 250 employees on Dec. 31, 2016, 250 employees
on Dec. 31, 2016 and 500 employees for Dec. 31, 2017. The Market Value and intrinsic
value of the share appreciation right are as follows:
Date
Market Value
Intrinsic Value
Dec. 31, 2014
15
Dec. 31, 2015
18
Dec. 31, 2016
20
15
Dec. 31, 2017
21
20
Dec. 31, 2018
25
Prepare all indicated entries for 2014 to 2018 in connection with the share appreciation rights.
The intrinsic value of the share appreciation right on the date of exercise is the amount paid
out to the employees.
Transcribed Image Text:Haynna Company on Jan. 1, 2014 granted 100 share appreciation rights to each of its 1,000 employees on condition that the employees remain it the company for the next three years. No employees left the entity during the three-year vesting period. The employees exercised their share appreciation rights as follows: 250 employees on Dec. 31, 2016, 250 employees on Dec. 31, 2016 and 500 employees for Dec. 31, 2017. The Market Value and intrinsic value of the share appreciation right are as follows: Date Market Value Intrinsic Value Dec. 31, 2014 15 Dec. 31, 2015 18 Dec. 31, 2016 20 15 Dec. 31, 2017 21 20 Dec. 31, 2018 25 Prepare all indicated entries for 2014 to 2018 in connection with the share appreciation rights. The intrinsic value of the share appreciation right on the date of exercise is the amount paid out to the employees.
Expert Solution
steps

Step by step

Solved in 2 steps with 4 images

Blurred answer
Knowledge Booster
Consolidations
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education