Answered: share-based payment with cash and share…

Business

Accounting

share-based payment with cash and share alternatives

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

In a share-based payment with cash and share alternatives, the net effect to the shareholders’ equity if the employee chooses the cash alternative is

the balance of the accrued salaries payable

the balance of the share options outstanding

zero

the total subscription price

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