Discuss CIMA CIMAPRA19-F02-1 Exam Topic 1 Question 43

GH granted 100 share options to each of its 1,000 employees on 1 January 20X8. The fair value of each option was $7 on 1 January 20X8 and had risen to $8 at 31 December 20X8.

Whichof the following statements represents the treatment that GH adopted to account for the related expense of these share options in its financial statements for the year ended 31 December 20X8, in accordance with IFRS 2 Share-based Payments?

AThe expense was measured using the fair value of $7 and the credit entry was to equity.

BThe expense was measured using the fair value of $7 and the credit entry was to liabilities.

CThe expense was measured using the fair value of $8 and the credit entry was to equity.

DThe expense was measured using the fair value of $8 and the credit entry was to liabilities.

Suggested Answer: A

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11 comments · newest first

Meaghan 12 months ago

I thought they had to account for the higher value at year-end?

Lorrie 1 year ago

Definitely option A, that's how IFRS 2 works!

Tequila 1 year ago

Wait, why would they use $8? That seems off.

Lizbeth 1 year ago

Totally agree, it's all about the grant date value!

Robt 1 year ago

GH should use the fair value of $7 for the expense.

Dorothy 1 year ago

Okay, let me think this through. The bills of material would give me the components needed for each master schedule item, and then I could use that to determine the capacity required. I'm pretty sure the answer is B, bill of resources.

Magda 1 year ago

This is a classic example of a calendar spread. Bubba is buying one put and selling another put with the same underlying but different expiration dates. Time to put my options knowledge to the test!

Frank 1 year ago

This seems like a straightforward question about the valid metric types in Decision Center. I'm pretty confident I know the answer, so I'll just quickly review the options and select the two correct ones.

Yvonne 1 year ago

I think the navigation button might be related to the Drawer Widget, but I'm not completely sure.

Georgeanna 1 year ago

I'm pretty sure the answer is 'No' here. The solution specifically says to manually download the 'docker-ee' package, which means it won't be an automatic upgrade to the Enterprise Edition.

Edison 1 year ago

I think a miner is a type of node, but I'm struggling to recall if all nodes must be miners.

CIMAPRA19-F02-1 Exam - Topic 1 Question 43 Discussion