On November 1, 2020, Pina Company adopted a stock-option pla…

On November 1, 2020, Pina Company adopted a stock-option plan that granted options to key executives to purchase 30,000 shares of the company’s $10 par value common stock. The options were granted on January 2, 2021, and were exercisable 2 years after the date of grant if the grantee was still an employee of the company. The options expired 6 years from date of grant. The option price was set at $30, and the fair value option-pricing model determines the total compensation expense to be $600,000. All of the options were exercised during the year 2023: 20,000 on January 3 when the market price was $69, and 10,000 on May 1 when the market price was $78 a share. What is the effect on the statement of financial position for the exercise of the options in 2023?  

Nash Company began operations on January 2, 2019.  It employ…

Nash Company began operations on January 2, 2019.  It employs 10 individuals who work 8-hour days and are paid hourly.  Each employee earns 9 paid vacation days and 6 paid sick days annually.  Vacation days may be taken after January 11 of the year following the year in which they are earned.  Sick days may be taken as soon as they are earned; unused sick days accumulate.  Nash Company records both vacation pay and sick pay as compensated absences. Nash Company accrues the cost of compensated absences at rates of pay in effect during the period when the absences are earned. Additional information is as follows:   What is the balance in liabilities for compensated absences as of the end of the year, 2019?  

Please use the following information to answer the next thre…

Please use the following information to answer the next three questions, Q14-Q16 Wrigley’s Spearmint Gum retail price point is $1.00. They sell the gum  to grocery stores via a distributor which takes a 20% margin. Wrigley’s total variable costs on the bars are $.20 and its cost of goods sold is $.15. The retailer’s margin is 30%.

On January 1, Year 2, Miller Company purchased 25% of Wall C…

On January 1, Year 2, Miller Company purchased 25% of Wall Corporation’s common stock; no goodwill resulted from the purchase. Miller uses the equity method to account for this investment, and the balance in Miller’s investment account was $190,000 at December 31, Year 2. Wall reported net income of $100,000 for the year ended December 31, Year 2, and paid common stock dividends totaling $48,000 during Year 2. How much did Miller pay for its 25% interest in Wall?