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On January 1, 2020, Pronghorn Corporation granted its president a share appreciation rights (SARs) package covering employment over a three-year period. The package was based on SARS increases for 18,600 shares over the fair value on January 1, 2020 of $21 per common share. The SARS package to be paid in cash at the end of the third year (i.e., December 31, 2022). The fair values of the Pronghorn shares were as follows: December 31, 2020 December 31, 2021 December 31, 2022 $23/share $26/share $24/share Prepare the journal entries to record the Share Appreciation Rights (SARS) package, and the payment on December 31, 2022 assuming that Pronghorn follows ASPE. (Round answers to O decimal places, e.g. 5,275. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31, 2020 Compensation Expense Liability under Share Appreciation Rights Plans Dec. 31, 2021 Compensation Expense Liability under Share Appreciation Rights Plans Dec. 31, 2022 A Liability under Share Appreciation Rights Plans Compensation Expense (To record negative compensation expense.) Liability under Share Appreciation Rights Plans (To remove SAR liability.)

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