David Is the General Manager of Awesome Limited and Is

question 29

Multiple Choice

David is the general manager of Awesome Limited and is considered to be the member of key management personnel. The following transactions occurred between David and Awesome Limited:
?David purchased a product of Awesome Limited on normal trading terms;
?David received remuneration from Awesome Limited amounting to £100 000;
?Awesome Limited issued 20 000 options to David, which can be converted into Awesome Limited's shares if target profit margin of 25% is achieved in the next three years.
Which of the above transactions must be disclosed as related party transactions?

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Definitions:

Summer to Fall

The transitional period from the warm summer months to the cooler autumn season, often marked by changes in weather, fashion, and consumer behavior.

Substitute Good

A product or service that can be used in place of another to satisfy similar needs or demands.

Increase in Income

An upward movement in an individual's or a nation's earnings, due to factors like higher wages, investment returns, or business profits.

Decrease in Quantity

A reduction in the amount of a good or service produced or consumed.