On January 1, Year8, Iffers Company granted restricted stock units (RSUs) repres

Question

On January 1, Year8, Iffers Company granted restricted stock units (RSUs) representing 30 million of its $2 par common shares to executives, subject to forfeiture if employment is terminated within three years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. The common shares had a market price of $8 per share on January 1, YearB |ffers expects 10% of the employees to sever employment (leave the company) before the RSUs vest. If that estimate turns out to be correct, how much total compensation expense will Iffers record (in all years combined) with respect to the RSUs? 54 million O B. 240 million ° C. 24 million O D 216 million E. 60million O F none

Explanation / Answer

Ans. B 240 Million

the total compensation cost pertaining to the RSUs

30 million shares granted X $ 8 per share = $ 240

Related Questions

Navigate

• Browse (All)
• Browse O
• Subjects

---