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19 Cards in this Set
- Front
- Back
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Dilutive securites |
anything that reduces earnings per share once it's exercised |
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tyopes of cdilutive securities |
convertible bonds
stock option detatchable stock warrants restricted stock SAR plan |
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four accounts used when converting convertible stock |
db: converitble bonds payable premium or discount cr: common stock (par) cr. PIC in excess of par-C |
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under bonds with detachable warrants, at issuance, what is the value of PIC stockwarrant |
# of warrants X market value |
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JE's hit at issuance with a detachable warrant |
db: Cash disc or prem cr: bonds pay cr: PIC stock warrants |
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JE at issuance for convertible bonds |
Db: cash disc or prem credit: bonds payable |
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JE for excercising a bonds with a detachable warrant |
db: cash Db: PIC stock warrants Cr: common stock cr. PIC excess of par |
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what si a grant date and vesting date |
the start and end of the period of time you can buy a common stock for a stock option
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Anbual JE for stock options |
Db: Compensation Expense Cr: PIC - stock options |
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the exercise JE for stock options |
Db: Cash Db: PIC- stock options Cr: Common Stock PIC - excess of par-C |
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equation to calculate total compensation cost for stock options |
estimated fair value per option X options granted |
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What is the difference in the JEs at exercise of REstricted stock and stock options |
restricted stock doesn't effect cash when exercised |
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annual JE for stock appreciation rights |
Db: Compesation Expense Cr: Liability SAR plan |
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Which 3 dilutive securites do not have an initial JE |
Stock appreciation rights restricted stock stock options |
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equation for SAR account "Liability - SAR Plan" |
[Estimated X number X (x/n) ] - Previous SARS price of options amounts |
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what is the final JE for SAR plan |
db: Liab SAR Plan cr: Comp EXP [(Current FV - old FV) X #] - LSP Bal db: Liab SAR Plan [(CurrentFV - old FV) X #] cr: Cash |
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Stock Warrants go with |
detachable warrants |
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which dilutive security reverses prem/disc |
convertible stock |
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Stock option VS Restricted stock |
stock option - allows emp to purchase stock
restrict - awarded to emps |
