Under IFRS 2, Share-Based Payment, What Approach Is Used to Account

question 31

Multiple Choice

Under IFRS 2, Share-based Payment, what approach is used to account for the transaction?

• A) Comparable transaction approach
• B) Fair value approach
• C) Market approach
• D) Notional value approach

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Definitions:

Romeo

A character from William Shakespeare's tragedy "Romeo and Juliet," often symbolizing romantic love.

Juliet

A fictional character from Shakespeare's tragedy "Romeo and Juliet," symbolizing young love and tragic romance.

Social Welfare Function

A theoretical framework in economics that represents preferences over social states or outcomes, aiming to aggregate individual utilities into a measure of collective welfare.

Pareto Optimum

A distribution of resources in which it is not feasible to rearrange in a way that improves one person's situation without detrimentally affecting at least another individual's standing.