What is the grant date?
A) It is the date at which the entity's board of directors approves the share-based payment plan.
B) It is the date at which the entity's employees are notified of the share-based payment plan.
C) It is the date at which the shareholders receiving legal notification the share-based payment plan has been established.
D) It is the date at which the reporting entity and the counterparty agree to and reach a shared understanding of the terms and conditions of the arrangement.

Question

Quizplus · Accepted Answer

The grant date is the date on which the reporting entity and the counterparty (e.g., employees) agree to and reach a shared understanding of the terms and conditions of a share-based payment arrangement. This is when the rights and obligations of both parties are established.

What Is the Grant Date