Garavelli industries granted restricted stock units (rsus) representing 60 million of its $1 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 the grant date. ignoring taxes, what is the effect on earnings in the year after the shares are granted to executives?
$ 0
$ 60 million
$160 million
$480 million

Cash flows during the first year of operations for the harman-kardon consulting company were as follows: cash collected from customers, $360,000; cash paid for rent, $44,000; cash paid to employees for services rendered during the year, $124,000; cash paid for utilities, $54,000.in addition, you determine that customers owed the company $64,000 at the end of the year and no bad debts were anticipated. also, the company owed the gas and electric company $2,400 at year-end, and the rent payment was for a two-year period. calculate accrual net income for the year.