On December 31, 2017, Bulldog Company approved a restricted stock share plan for a number of employees wherein the restricted shares vest three years after the date of grant. On January 1, 2018, 100,000 shares of $1 par value stock were granted to key employees when the market price of the common stock was $30/share. The company initially estimates that 10% of the restricted shares will be forfeited and Bulldog's policy is to estimate forfeitures. On December 31, 2019, Bulldog changed the estimated forfeiture rate to 15%. On December 31, 2020, the restricted shares vested and the company made the adjusting journal entry to recognize 85,000 shares retained by employees at that time when the market price per share was $37.50. Required - Prepare any necessary journal entries for 2018-2020 related to Bulldog's restricted share plan. Ignore taxes.
On December 31, 2017, Bulldog Company approved a restricted stock share plan for a number of employees wherein the restricted shares vest three years after the date of grant. On January 1, 2018, 100,000 shares of $1 par value stock were granted to key employees when the market price of the common stock was $30/share. The company initially estimates that 10% of the restricted shares will be forfeited and Bulldog's policy is to estimate forfeitures. On December 31, 2019, Bulldog changed the estimated forfeiture rate to 15%. On December 31, 2020, the restricted shares vested and the company made the adjusting journal entry to recognize 85,000 shares retained by employees at that time when the market price per share was $37.50. Required - Prepare any necessary journal entries for 2018-2020 related to Bulldog's restricted share plan. Ignore taxes.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
100%
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
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.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education