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Business, 14.03.2020 05:52 harmonytaylor13

On January 1, 2017, Western Carolina Company granted Andy Eggers, an employee, an option to buy 2,000 shares of Western Carolina Co. stock for $25 per share, the option exercisable for 5 years from the date of grant. Using a fair value option pricing model, the total compensation expense is determined to be $21,000. Eggers exercised his option on September 1, 2017, and sold his 2,000 shares on December 1, 2017. Quoted market prices of Western Carolina Co. stock during 2017 were
January 1 $25 per share
September 1 $30 per share
December 1 $34 per share
The service period is for three years beginning January 1, 2017. As a result of the option granted to Eggers, using the fair value method, Western Carolina should recognize compensation expense for 2017 on its books in the amount of

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On January 1, 2017, Western Carolina Company granted Andy Eggers, an employee, an option to buy 2,00...
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