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Ifrs 2 – Cash Alternative

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Ifrs 2 – Cash Alternative

  • This topic has 3 replies, 2 voices, and was last updated 11 years ago by MikeLittle.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • March 13, 2014 at 7:38 am #162199
    anas22
    Member
    • Topics: 16
    • Replies: 48
    • ☆☆

    @MikeLittle plz reply

    Hi Sir,

    My question is that, In case of cash alternative where an entity has choice either to settle in cash or settle in equity and entity has no present obligation to settle in cash and entity initially issue shares but subsequently settle in cash then what should be the accounting treatment in this case???

    March 13, 2014 at 6:33 pm #162304
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23309
    • ☆☆☆☆☆

    Why would they issue shares and then settle in cash? I’m lost!

    March 14, 2014 at 5:51 pm #162371
    anas22
    Member
    • Topics: 16
    • Replies: 48
    • ☆☆

    Sorry entity initially treated as equity settle bu subsequently settle in cash.

    March 14, 2014 at 6:37 pm #162375
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23309
    • ☆☆☆☆☆

    I’m not even sure that that situation can happen! Is it somewhere in a text that you have read?

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