Answer the question on the basis of the following output data for a firm. Assume that the amounts of all nonlabor resources are fixed.
Number of workers: 0, 1, 2, 3, 4, 5, 6. Units of Output: 0, 40, 90, 126, 150, 165, 180.
Refer to the data. Diminishing marginal returns become evident with the addition of the:
a. sixth worker
b. fourth worker
c. third worker
d. second worker

On december 31, 2013, coronado company issues 173,000 stock-appreciation rights to its officers entitling them to receive cash for the difference between the market price of its stock and a pre-established price of $10. the fair value of the sars is estimated to be $5 per sar on december 31, 2014; $2 on december 31, 2015; $10 on december 31, 2016; and $8 on december 31, 2017. the service period is 4 years, and the exercise period is 7 years. prepare a schedule that shows the amount of compensation expense allocable to each year affected by the stock-appreciation rights plan.