A company granted compensation through restricted shares to four
of its executives, with a market value of $ 600,000 and a period of
service of four years. When granting the compensation plan, the
company made the following entry:
Deferred compensation 600,000
Common srock 30,000
Paid-in capital in excess of par value 570,000
In each of the first two years the company made the following
entry:
Compensation expense 150,000
Deferred compensation 150,000
During the third year, one of the executives resigned...