ACC 304 All Assignments ACC 304 All Assignments | Page 3

Present value of 1 for 16 periods at 4%
.534
Present value of annuity for 8 periods at 6% 6.210
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