A share-based payment transaction in which the entity receives goods or services as consideration for equity instruments of the entity is classified, in AASB 2 Share-based Payment, as:
A) an equity-settled share-based payment transaction.
B) a liability-settled share-based payment transaction.
C) a cash-settled share-based payment transaction.
D) an 'other' share-based payment transaction.

Question

Quizplus · Accepted Answer

According to AASB 2 Share-based Payment, when an entity receives goods or services as consideration for equity instruments of the entity, it is classified as an equity-settled share-based payment transaction. This means that the entity has issued equity instruments as a form of payment and does not have any obligation to settle the transaction in cash or other assets.

A Share-Based Payment Transaction in Which the Entity Receives Goods