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  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by P2-D2.
Viewing 2 posts - 1 through 2 (of 2 total)
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    Posts
  • December 10, 2016 at 11:11 pm #363174
    mefinyapascal27
    Member
    • Topics: 4
    • Replies: 6
    • ☆

    Please sir how to account for employees bonus that will be settled in share and the payment depends solely on the performance of the company?
    Is it a liability or equity instrument?

    December 14, 2016 at 4:59 pm #363699
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7171
    • ☆☆☆☆☆

    Hi,

    If you are issuing shares then it would be an equity instrument. It would only be a liability if the bonus were to be paid in cash.

    Thanks

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