Continuing with the wine and cheese depot the

This preview shows page 1 - 3 out of 4 pages.

Continuing with the Wine and Cheese Depot: The restaurant owners paid the Depot $1,000 on January 31, 2018 and closed the business on February 6, 2018. Based on the bankruptcy case for the restaurant, the lawyers and collections 2018 1
departments confirmed the Depot would receive none of the remaining bill outstanding from the restaurant. Rudolph Chocolatiers Corporation The CEO and CFO of a Rudolph Chocolatiers Corporation traveled from their headquarters in New York to the Louis Armstrong International Airport in New Orleans, LA on June 8, 2017 to determine whether they wanted to add another chocolate shop location to the area. The executives’ flights were $400 in total, with total lodging costs of $950, and meals totaling $420. The executives did not stay for any personal travel but returned home immediately after the meetings. 2017 Ring-a-ling In 2017, Ring-a-ling, a telephone company, received $4,000 in interest income from a bond it held for the city of Fairfax. 2017 2. ( 30 points total ) Reginald Bank offered its Chief Investment Officer (CIO) 5,000 options to purchase company stock at $5/share on January 1, YEAR 1. The stock was selling at the same price in the public market that day. Assume that Reginald Bank estimates the value of the options on the grant date is $10/share. The vesting period was 50 percent for YEAR 1 and 50 percent for YEAR 2. On December 31, YEAR 2, the stock was worth $7/share, but the CIO believed that stock prices were going up; so she waited until December 31, YEAR 3 to exercise all her options and turn around and sell the shares the same day when the stock price 2

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture