ACC 304 help A Guide to career/Snaptutorial ACC 304 help A Guide to career/Snaptutorial | Página 3

Present value of annuity for 8 periods at 8%
5.747
Present value of annuity for 16 periods at 3%
12.561
Present value of annuity for 16 periods at 4%
11.652
The present value of the interest is
10) Which of the following would be considered research and
development costs?
11) On January 1, 2015, Evans Company granted Tim Telfer, an
employee, an option to buy 3,000 shares of Evans Co. stock for $25
per share, the option exercisable for 5 years from date of grant. Using
a fair value option pricing model, total compensation expense is
determined to be $22,500. Telfer exercised his option on September 1,
2015, and sold his 1,000 shares on December 1, 2015. Quoted market
prices of Evans Co. stock during 2015 were
January 1
$25 per share
September 1
$30 per share
December 1
$34 per share
The service period is for three years beginning January 1, 2015. As a
result of the option granted to Telfer, using the fair value method,
Evans should recognize compensation expense for 2015 on its books
in the amount of
12) Presented below is information related to Hale Corporation:
Common Stock, $1 par
$4,500,000
Paid-in Capital in Excess of Par―Common Stock 550,000
Preferred 8 1/2% Stock, $50 par
2,000,000
Paid-in Capital in Excess of Par―Preferred Stock 400,000
Retained Earnings
1,500,000
Treasury Common Stock (at cost)
150,000