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jyang3 jyang3
wrote...
Posts: 196
5 years ago
Compensatory stock options were granted to executives on January 1, 20x3, with a measurement
date of June 30, 20x4, for services to be rendered during 20x3, 20x4, and 20x5. The excess of the
market value of the shares over the option price at the measurement date was reasonably
estimable at the date of grant. The stock option was exercised on October 31, 20x5.
Compensation expense should be recognized in the income statement in which of the following
years?
20x3 20x4 20x5
1 No No Yes
2 No Yes Yes
3 Yes No No
4 Yes Yes Yes
A) Choice 1
B) Choice 2
C) Choice 3
D) Choice 4
Textbook 
Intermediate Accounting, Volume 2

Intermediate Accounting, Volume 2


Edition: 5th
Authors:
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Answer verified by a subject expert
Eighty8Eighty8
wrote...
Posts: 209
5 years ago
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jyang3 Author
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5 years ago
Mind blown, I've bookmarked this site on told my friends
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5 years ago
Really appreciate that, see you soon
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