Business, 24.02.2020 21:07 princessa15266

On January 1, 2014, Barwood Corporation granted 5,000 options to executives. Each option entitles the holder to purchase one share of Barwood's $5 par value common stock at $50 per share at any time during the next 5 years. The market price of the stock is $65 per share on the date of grant. The fair value of the options at the grant date is $150,000. The period of benefit is 2 years. The options are equity-classified awards. Instructions: Prepare Barwood's journal entries for January 1, 2014, and December 31, 2014 and 2015.

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On January 1, 2014, Barwood Corporation granted 5,000 options to executives. Each option entitles th...

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