Which of the Following Statements Is Incorrect of Equity-Settled Share-Based

question 4

Multiple Choice

Which of the following statements is incorrect of equity-settled share-based payment transactions?

• A) These are transactions in which the entity receives goods and services as consideration for shares or share options issued by the entity.
• B) There is a presumption that the fair value of the transactions with other parties (other than employees) can be measured reliably.
• C) The fair value of equity-settled instruments is required to be re-estimated at balance date.
• D) The entity shall recognise a corresponding increase in equity if the goods or services were received in an equity-settled share-based payment transaction.
• E) Goods or services received or acquired in an equity settled share-based payment transaction shall be recognised as expenses when it does not qualify for recognition as assets.

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Definitions:

Subception

A psychological term referring to the perception of stimuli below the threshold of consciousness.

Self-concepts

The sum of beliefs and feelings about oneself, including aspects of identity and self-esteem.

Physiological Needs

Basic bodily requirements for human survival, such as food, water, air, and shelter, according to Maslow's hierarchy.

Self-actualization

The achievement or actualization of one's abilities and potentials, particularly seen as a universal drive or necessity in all individuals.