- On January 1 2021 Monty Inc Granted Stock Options To Officers And Key Employees For The Purchase Of 17 000 Shares Of 1 (31.19 KiB) Viewed 50 times
- On January 1 2021 Monty Inc Granted Stock Options To Officers And Key Employees For The Purchase Of 17 000 Shares Of 2 (23.52 KiB) Viewed 50 times
- On January 1 2021 Monty Inc Granted Stock Options To Officers And Key Employees For The Purchase Of 17 000 Shares Of 3 (16.14 KiB) Viewed 50 times
On January 1, 2021, Monty Inc. granted stock options to officers and key employees for the purchase of 17,000 shares of the
company's $10 par common stock at $23 per share. The options were exercisable within a 5-year period beginning January 1, 2023, by grantees still in the employ of the
company, and expiring December 31, 2027. The service period for this award is 2 years. Assume that the fair value option-pricing model determines total compensation expense to be $363.600. On April 1, 2022, 1,700 options were terminated when the employees resigned from the
company. The market price of the common stock was $34 per share on this date. On March 31, 2023, 10.200 options were exercised when the market price of the common stock was $39 per share. Prepare journal entries to record issuance of the stock options, termination of the stock options, exercise of the stock options, and charges to compensation expense, for the years ended December 31, 2021 2022, and 2023. (Credit account titles are automatically Indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts) Date Jan 1, 2021 Account Titles and Explanation No Entry No Entry Debit 0 Credit
Date Jan. 1.2021 Dec 31, 2021 April 1, 2022 Dec. 31, 2022 ✓ Account Titles and Explanation No Entry No Entry Compensation Expense Paid-in Capital-Stock Options Paid-in Capital-Stock Options Compensation Expense Compensation Expense Paid-in Capital-Stock Options Debit 0 Credit 4
April 1, 2022 Y Dec 31, 2022 Mar. 31, 2023 Paid-in Capital-Stock Options Compensation Expense Compensation Expense Paid-in Capital-Stock Options Cash Paid-in Capital-Stock Options Common Stock Paid-in Capital in Excess of Par-Common Stock 234600