In this chapter we look at some common forms of compensation in which the amount of the compensation employees receive is tied to the market price of company share. We will see that these share-based compensation plans – share awards, share options, and share appreciation rights – create shareholders’ equity. The nature of this compensation will impact the way we calculate earnings per share, the topic of the second part of this chapter. | Lecture Intermediate accounting: IFRS edition - Chapter 19: Share-based compensation and earnings per share
