Wiley Interpretation and Application of IFRS Standards

17 SHARE-BASED PAYMENT

• Introduction
• Scope
• Definitions of Terms
• Overview
• Recognition and Measurement
  • Recognition When There are Vesting Conditions
• Equity-Settled Share-Based Payments
  • Goods and Services
  • Employees
  • Service Conditions
  • Market and Non-Market Performance Conditions
  • Measurement of Fair Value
  • Modifications and Cancellations to the Terms and Conditions
  • If the Modification Increases the Fair Value
  • If the Modification Decreases the Fair Value
  • Cancellations and Settlements
    • Employee share options with graded vesting characteristics and service conditions
• Cash-Settled Share-Based Payments
  • Measurement
  • Treatment of Vesting and Non-Vesting Conditions
  • Share-Based Payment Transactions with a Net Settlement Feature for Withholding Tax Obligations
  • Modifications to the Terms and Conditions of a Cash-Settled Share-Based Payment
• Share-Based Payment Transactions With Cash Alternatives
• Share-Based Transactions Among Group Entities
• Disclosure
  • Financial Statement Presentation under IFRS
• Examples of Financial Statement Disclosures
• Appendix: Employee Share Options Valuation Example
  • Employee share options: Valuation models

INTRODUCTION

The IASB’s Conceptual Framework defines equity as the residual interest in the assets of an entity after deducting all its liabilities. Shareholders’ equity comprises all capital contributed to the entity (including share premium, also referred to as capital paid-in in excess of par value) plus retained earnings (which represents the entity’s ...