On January 1, 2014 share options were granted to employees where they can purchase 100,000 ordinary shares of $90 par at $100 per share. The fair value of the share options is $40 per share. The senior officers are entitled to the share options only after completing two years of service. The options can be exercised starting January 1, 2016 and shall expire on December 31, 2016. What is the compensation expense recorded on December 31, 2015?

On January 1, 2014 share options were granted to employees where they can purchase 100,000 ordinary shares of $90 par at $100 per share. The fair value of the share options is $40 per share. The senior officers are entitled to the share options only after completing two years of service. The options can be exercised starting January 1, 2016 and shall expire on December 31, 2016. What is the compensation expense recorded on December 31, 2015?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 7RE: On January 1, 2019, Phoenix Corporation adopts a performance-based share option plan for 25...

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