Assume That All Compensation Expense from the Stock Options Granted

question 152

Multiple Choice

Assume that all compensation expense from the stock options granted by Wilson already has been recorded. Further assume that 200,000 options expire in 2018 without being exercised. The journal entry to record this would include:

• A)Debit to paid-in capital-stock options for $8 million.
• B)A debit to common stock for $5 million.
• C)A debit to paid-in capital-expiration of stock options for $8 million.
• D)None of these is correct.

Describe the use and significance of longitudinal designs in psychological research.

Understand the concept of independent and dependent variables in experimental research.

Recognize and explain the implications of third variables and confounds in research.

Understand and explain the importance of double-blind experiments in controlling for experimenter and participant biases.

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Definitions:

Clayton Act

A U.S. antitrust law, enacted in 1914, aimed at promoting fair competition by prohibiting certain business practices that could lead to monopoly or restraint of trade.

Price Discrimination

Charging different prices to different consumers for the same product or service, without a basis on different costs.

Mergers

The combination of two or more companies into one, where one corporation is completely absorbed by another corporation.

Sherman Act

A federal statute that prohibits monopolistic business practices and promotes competition.