{"id":56747,"date":"2024-04-16T00:50:01","date_gmt":"2024-04-16T00:50:01","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=56747"},"modified":"2024-04-16T00:50:01","modified_gmt":"2024-04-16T00:50:01","slug":"for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/","title":{"rendered":"For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably"},"content":{"rendered":"<p>[amp_mcq option1=&#8221;amortised cost&#8221; option2=&#8221;net book value&#8221; option3=&#8221;fair value&#8221; option4=&#8221;historical cost&#8221; correct=&#8221;option3&#8243;]<!--more--><\/p>\n<p>The correct answer is C. fair value.<\/p>\n<p>Equity-settled share-based payment transactions are transactions in which the entity acquires goods or services by issuing equity instruments to the supplier of those goods or services. The fair value of the equity instruments issued is used to measure the goods or services received and the corresponding increase in equity.<\/p>\n<p>The fair value of an equity instrument is the price that would be paid for the instrument in an arm&#8217;s-length transaction between knowledgeable, willing parties. The fair value of an equity instrument can be determined using a variety of methods, such as:<\/p>\n<ul>\n<li>The market price of the instrument, if available<\/li>\n<li>The price of a similar instrument, if available<\/li>\n<li>The present value of the expected future cash flows from the instrument<\/li>\n<\/ul>\n<p>If the fair value of the equity instruments issued cannot be estimated reliably, the entity shall measure the goods or services received and the corresponding increase in equity at the cost of those instruments.<\/p>\n<p>Amortized cost is the historical cost of an asset, adjusted for any subsequent amortization or impairment. Net book value is the historical cost of an asset, less any accumulated depreciation or amortization. Historical cost is the original cost of an asset, including any costs of acquisition and preparation for use.<\/p>\n<p>In conclusion, the correct answer is C. fair value.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>[amp_mcq option1=&#8221;amortised cost&#8221; option2=&#8221;net book value&#8221; option3=&#8221;fair value&#8221; option4=&#8221;historical cost&#8221; correct=&#8221;option3&#8243;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[85],"tags":[],"class_list":["post-56747","post","type-post","status-publish","format-standard","hentry","category-accounting","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably\" \/>\n<meta property=\"og:description\" content=\"[amp_mcq option1=&#8221;amortised cost&#8221; option2=&#8221;net book value&#8221; option3=&#8221;fair value&#8221; option4=&#8221;historical cost&#8221; correct=&#8221;option3&#8243;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/\" \/>\n<meta property=\"og:site_name\" content=\"MCQ and Quiz for Exams\" \/>\n<meta property=\"article:published_time\" content=\"2024-04-16T00:50:01+00:00\" \/>\n<meta name=\"author\" content=\"rawan239\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"rawan239\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/","og_locale":"en_US","og_type":"article","og_title":"For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably","og_description":"[amp_mcq option1=&#8221;amortised cost&#8221; option2=&#8221;net book value&#8221; option3=&#8221;fair value&#8221; option4=&#8221;historical cost&#8221; correct=&#8221;option3&#8243;]","og_url":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/","og_site_name":"MCQ and Quiz for Exams","article_published_time":"2024-04-16T00:50:01+00:00","author":"rawan239","twitter_card":"summary_large_image","twitter_misc":{"Written by":"rawan239","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/","url":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/","name":"For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably","isPartOf":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#website"},"datePublished":"2024-04-16T00:50:01+00:00","dateModified":"2024-04-16T00:50:01+00:00","author":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209"},"breadcrumb":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/exam.pscnotes.com\/mcq\/for-equity-settled-share-based-payment-transactions-the-entity-shall-measure-the-goods-or-services-received-and-the-corresponding-increase-in-equity-directly-at-the-of-the-goods-or-s\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/exam.pscnotes.com\/mcq\/"},{"@type":"ListItem","position":2,"name":"mcq","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/"},{"@type":"ListItem","position":3,"name":"accounting","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/accounting\/"},{"@type":"ListItem","position":4,"name":"For equity-settled share-based payment transactions, the entity shall measure the goods or services received and the corresponding increase in equity, directly at the . . . . . . . . of the goods or services received, unless that it cannot be estimated reliably"}]},{"@type":"WebSite","@id":"https:\/\/exam.pscnotes.com\/mcq\/#website","url":"https:\/\/exam.pscnotes.com\/mcq\/","name":"MCQ and Quiz for Exams","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/exam.pscnotes.com\/mcq\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209","name":"rawan239","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","caption":"rawan239"},"sameAs":["https:\/\/exam.pscnotes.com"],"url":"https:\/\/exam.pscnotes.com\/mcq\/author\/rawan239\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/56747","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/comments?post=56747"}],"version-history":[{"count":0,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/56747\/revisions"}],"wp:attachment":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/media?parent=56747"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/categories?post=56747"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/tags?post=56747"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}