Chpt 10 Share Based Payments

Question 1

Measurement

Dr/Cr

Answer 1

Dr expense 
Cr equity (If equity settled) 
Cr liability (if cash settled)

Question 2

Equity settle transaction

Expense calculation

Answer 2

Expense = [no employees x no options x FV] / vesting period

Question 3

SAR expense calculation

Answer 3

Expense = [no employees x no SAR x updated valuation] vesting period