O'Donnell Motor Parts issued 120,000 stock options to its employees. The company granted the stock options at-the-money, when the share price was $34. These options have no vesting conditions. By year-end, the share price had increased to $38. O'Donnell's management estimates the value of these options at the grant date to be $1.70 each. Requirement Record the issuance of the stock options. Record the issuance of the stock options. (Record debits first, then credits. Explanations are not required.) Date Accounts Credit Debit

O'Donnell Motor Parts issued 120,000 stock options to its employees. The company granted the stock options at-the-money, when the share price was $34. These options have no vesting conditions. By year-end, the share price had increased to $38. O'Donnell's management estimates the value of these options at the grant date to be $1.70 each. Requirement Record the issuance of the stock options. Record the issuance of the stock options. (Record debits first, then credits. Explanations are not required.) Date Accounts Credit Debit

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

Chapter21: The Statement Of Cash Flows

Section: Chapter Questions

Problem 4MC: The retirement of long-term debt by the issuance of common stock should be presented in a statement...

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