Which of the Following Statements in Relation to Disclosures Required

question 5

Multiple Choice

Which of the following statements in relation to disclosures required under IFRS 2 Share-based Payment is NOT correct?

• A) For arrangements that were modified during the year, the incremental fair value granted as a result.
• B) The weighted average price at the date of exercise for options exercised during the period.
• C) A description of the plan, including the general terms and conditions, vesting requirements, maximum term of options granted and method of settlement must be disclosed.
• D) for liabilities arising from share-based payment transactions, the total intrinsic value at the end of the period for liabilities where the counter party's right had not yet vested.

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Definitions:

Target Cost

The estimated price for a product that would allow a company to achieve a desired profit margin while remaining competitive in the market.

Useful Life

The estimated duration an asset is expected to be functional and useful before it needs to be replaced or becomes obsolete.

Operating Cost

Expenses associated with the day-to-day functions of a business excluding cost of goods sold, such as rent, utilities, and payroll.

Value-Based Pricing

A pricing strategy where the price of a product or service is determined based on the perceived value to the customer rather than the cost of production.