On January Blossom Corp. granted stock options to its chief executive officer. This is the only stock option plan that Blossom
offers and the details are as follows:
Stock option expiration:
The earlier of eight years after issuance or the employee's cessation
of employment with Blossom for any reason other than retirement
Date when options are first exercisable:
The earlier of four years after issuance or the date on which
the employee reaches the retirement age of
Fair value of options on date of grant:
$
On January of the options were exercised when the fair value of the common shares was $ The remaing stock
options were allowed to expire. The CEO remained with the company throughout the period.
Assume that the entity follows ASPE and has decided not to include an estimate of forfeitures upon initial recognition of the
compensation expense. Record the journal entry on December the fiscal year end of Blossom Credit account titles are
automatically indented when the amount is entered. Do not indent manually. If no entry is required, select No Entry" for the account titles
and enter for the amounts. List debit entry before credit entry.
