Share Based Payments - Accounting and Vesting Conditions

March 22, 2017

The accounting for Share Based Payments is usually complicated. This, however, is relevant considering the fact that many entities have started providing compensation based on equity shares in the entity itself to the employees.


The accounting for Share Based Payments has many aspects - one of the most relevant aspects is vesting conditions - whether these are service based or performance based. How the change is measured in the financial statements and the accounting done for share based payments with respect to changes in conditions is discussed in detail.




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