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Journal entryIntermediatePublished

Question · Recognise when received: as an expense or an asset

On 31 December, Nordis SA grants a consultant 5,000 options that vest immediately, with no condition at all, in return for services already rendered; the total fair value of the options at the grant date is 60,000. Case convention: the services do not meet the criteria for recognition as an asset. Record the entry at the grant date.

Total fair value of the options at the grant date
60,000
Your answer
  1. Line 1

    Account Services expense

  2. Line 2

    Account Share-based payment reserve

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