Under the disclosure provisions of SFAS No.123, the estimated stock option expense for 2006 would be $15,500 for W Co.. When the company records this expense:
A) retained earnings account has no effect
B) the equity on b/s has no effect
C) the total assets increase by 15,500
D) the capital decreases by 15,500
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D) the capital decreases by 15,500
It decreases capital because ...
Solution Summary
This solution explains the correct answer for W Co. under the disclosure provisions of SFAS No. 123.
...expense for 2009 of $30,000 should be recorded. The difference between the cost and the accumulated depreciation is to be credited to retained earnings since ...
...expense 10,400 Utilities expense 3,100 Total Expense 45,300 Net ...Retained earnings is shown net of dividends. ... in the books, this is the recording activity When ...
...Earnings (end of year) + $180,000 Retained Earnings (end of ... h. Cash sales of $12,500 for the month were recorded. ... Insurance Expense 3,010 Prepaid Expense 3,010. ...
... be any difference in net rent expense for income ... income after the adjustments are recorded Net Income ... b. Ending retained earnings balance on the balance sheet ...
...Record the amounts of revenue, expense, and dividends in the Retained Earnings column, providing appropriate titles for these accounts in the last ...
... and payment of a $50,000 cash dividend was recorded as a debut to Interest Expense $50,000, and ... The only entry made was; Retained Earnings (Dr.) $10,000 and ...
... d. debit to Retained earnings for $18,000. ... Blackwood Brick Company on January 1 to record the proceeds ... a. Debit Interest Expense 4,500 Debit Cash 95,500 Credit ...
