years. SUFFUSE estimates that the fair value of each share optionemployee remaining in SUFFUSE's employ over the next threeOn January 1, 20x1, SUFFUSE TO FILL Co. grants 1,000 shareoptions to cach of its 100 key employees conditional upon eachUse the following information for the next four questions:Use the following information for the next four questions:Fact pattern:is P30.On the basis of a weighted average probability, SUFFUSE Co.estimates on January 1, 20x1 that 20 per cent of employees (10020% - 20 employees) will leave during the three-year periodand therefore forfeit their rights to the share options. Noemployees have actually left the company during the three-rear vesting period. Provide all the necessary journal entries.

As per employee stock option, employee compensation expense is recognized over the vesting period…

Use the following information for the next four questions: On January 1, 20x1, SUFFUSE TO FILL Co. grants 1,000 share options to cach of its 100 key employees conditional upon each employee remaining in SUFFUSE's employ over the next three years. SUFFUSE estimates that the fair value of each share option Fact pattern: is P30. On the basis of a weighted average probability, SUFFUSE Co. stimates on January 1, 20x1 that 20 per cent of employees (100 NP% - 20 employees) will leave during the three-year period and therefore forfeit their rights to the share options. No employees have actually left the company during the three- vear vesting period. Provide all the necessary journal entries.

Use the following information for the next four questions: On January 1, 20x1, SUFFUSE TO FILL Co. grants 1,000 share options to cach of its 100 key employees conditional upon each employee remaining in SUFFUSE's employ over the next three years. SUFFUSE estimates that the fair value of each share option Fact pattern: is P30. On the basis of a weighted average probability, SUFFUSE Co. stimates on January 1, 20x1 that 20 per cent of employees (100 NP% - 20 employees) will leave during the three-year period and therefore forfeit their rights to the share options. No employees have actually left the company during the three- vear vesting period. Provide all the necessary journal entries.

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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Question

100%

years. SUFFUSE estimates that the fair value of each share option
employee remaining in SUFFUSE's employ over the next three
On January 1, 20x1, SUFFUSE TO FILL Co. grants 1,000 share
options to cach of its 100 key employees conditional upon each
Use the following information for the next four questions:
Use the following information for the next four questions:
Fact pattern:
is P30.
On the basis of a weighted average probability, SUFFUSE Co.
estimates on January 1, 20x1 that 20 per cent of employees (100
20% - 20 employees) will leave during the three-year period
and therefore forfeit their rights to the share options. No
employees have actually left the company during the three-
rear vesting period. Provide all the necessary journal entries.

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