Use the Following Information for Questions 75 Through 77

question 31

Multiple Choice

Use the following information for questions 75 through 77.
On January 1, 2014, Korsak, Inc. established a stock appreciation rights plan for its executives. It entitled them to receive cash at any time during the next four years for the difference between the market price of its common stock and a pre-established price of $20 on 100,000 SARs. Current market prices of the stock are as follows: Compensation expense relating to the plan is to be recorded over a four-year period beginning January 1, 2014.
-What amount of compensation expense should Korsak recognize for the year ended December 31, 2015?

• A) $0
• B) $50,000
• C) $500,000
• D) $250,000

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Definitions:

Communities

Groups of individuals living together in a specific area or sharing common interests or characteristics, forming a social unit.

Learning Perspective

A theoretical viewpoint that emphasizes the role of experience and behavior in shaping cognitive development and understanding.

Behaviorists

Behaviorists are psychologists who focus on observable behaviors rather than internal processes such as thoughts and emotions, emphasizing the study of directly observable behaviors and their environmental determinants.

Structuralists

Psychologists who analyze the basic elements of consciousness and how they relate to experience, focusing on the structure of the mind.