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IFRS 2Chapter 3Lesson 1

Measuring a grant to employees: the grant date and a fixed fair value

Step 1 of 7Learning objectives

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Employee services are measured by the fair value of the instruments granted, measured at the grant date, that is when the terms are agreed and approvals obtained; this value is not remeasured afterwards.

45 minNot started

Learning objectives

  • Explain why employee services are measured by the fair value of the instruments granted and not by that of the services.
  • Determine the grant date of a plan when a shareholder approval is required and when services have already begun.
  • Explain that the fair value of an equity-settled grant is not remeasured after the grant date.
  • Record the exercise of options: cash received and reserve cleared against share capital and premium.

In this lesson

Original teaching content: it paraphrases the standard without reproducing it and does not replace the official text.

Contents — IFRS 2 — Share-based Payment

  1. 1 · Not startedScope, settlement method and grant date0 / 1 lesson
  2. 2 · Not startedRecognition of goods and services received0 / 1 lesson
  3. 3 · Not startedMeasurement of the instruments granted0 / 2 lessons
  4. 4 · Not startedVesting conditions and the expense of the period0 / 2 lessons
  5. 5 · Not startedModifications, cancellations and settlements0 / 1 lesson
  6. 6 · Not startedCash-settled transactions0 / 1 lesson
  7. 7 · Not startedSettlement alternatives0 / 1 lesson
  8. 8 · Not startedGroup share-based payment transactions0 / 1 lesson
  9. 9 · Not startedThe 2016 amendments to the standard0 / 1 lesson
  10. 10 · Not startedDisclosures0 / 1 lesson
  11. 11 · Not startedLinks with other standards and Committee decisions0 / 2 lessons