When Accounting for a Fixed Compensatory Share Option Plan, a Company

question 76

Multiple Choice

When accounting for a fixed compensatory share option plan, a company must make which of the following on the date of grant?

• A) journal entry recognizing the common stock issued
• B) journal entry recognizing the compensation expense
• C) memorandum entry explaining the terms of the compensatory share option plan
• D) memorandum entry of the expected annual compensation expense amount

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Not influenced or controlled by others; self-reliant.

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Acting with consideration for the social and environmental impact of one's decisions and actions on the wider community.

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