Under IFRS 2,Share-based Payment,what approach is used to account for the transaction?
A)comparable transaction approach
B)fair value approach
C)market approach
D)notional value approach

Question

Quizplus · Accepted Answer

Under IFRS 2, the fair value approach is used to account for share-based payment transactions. The fair value of the equity instruments granted should be measured reliably, taking into account any conditions attached to the grant. This fair value is recognized as an expense in the income statement over the vesting period, with a corresponding increase in equity.

Under IFRS 2,Share-Based Payment,what Approach Is Used to Account for the Transaction