On January 1,2020, an entity granted 100 share appreciation rights to each of its 200 employees on condition that the employees on condition that the employees remain in its employ for the next 3 years. Exercise of the share appreciation rights were as follows: December 31,2023 40 employees December 31,2024 100 employees December 31,2025 60 employees Actual and estimates of employees who left and are expected to leave are as follows: end of 2020: 10 employees left and additional 5 are expected to leave within the vesting period. end of 2021:17 employees left and additional 3 are expected to leave within the vesting period. end of 2021: no employee left The fair value of the share appreciation rights are as follows: Fair value December 31,2020 P 15  December 31,2021 18 December 31,2022 20 December 31,2023 21 December 31,2024 24 How much is the compensation expense to be recognized for the year 2024?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 1,2020, an entity granted 100 share appreciation rights to each of its 200 employees on condition that the employees on condition that the employees remain in its employ for the next 3 years. Exercise of the share appreciation rights were as follows:

December 31,2023 40 employees
December 31,2024 100 employees
December 31,2025 60 employees

Actual and estimates of employees who left and are expected to leave are as follows:
end of 2020: 10 employees left and additional 5 are expected to leave within the vesting period.
end of 2021:17 employees left and additional 3 are expected to leave within the vesting period.
end of 2021: no employee left

The fair value of the share appreciation rights are as follows:

Fair value
December 31,2020 P 15 
December 31,2021 18
December 31,2022 20
December 31,2023 21
December 31,2024 24

How much is the compensation expense to be recognized for the year 2024?

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