Stock-Based Compensation: Accounting Issues

Leader(s):

Prerequisite:
Basic knowledge of financial accounting and reporting.

Preparation:
No advance preparation required.

Level of Knowledge:
Intermediate.

CPE Credit:
8 Hours.
Other courses related to this topic:

Auditing Employee Benefit Plans: Level II

2010 Conference on Accounting for Stock-Based Compensation: Current Industry Trends & Strategies in Financial Reporting

Auditing Employee Benefit Plans: Level I

© 2009
All Rights Reserved
Center for Professional Education
370 Reed Road, Suite 227
Broomall, PA 19008-4098
(610) 328-7086

Stock-Based Compensation: Accounting Issues

The accounting rules for stock-based compensation require companies to recognize the fair value of share-based consideration on their financial statements. In this seminar, you'll learn what you need to do to comply and how expensing stock options and other share-based consideration will affect your accounting. You'll learn:

The financial statement impact of the rules for stock-based compensation accounting

How to apply those rules to various forms of share-based compensation

The impact of key assumptions upon annual expense

How to develop and interpret assumptions that are used for option pricing models

OBJECTIVE:

To enable accountants and other financial professionals to fully understand the FASB's accounting requirements for stock-based compensation. You'll discover how other companies have implemented the rules, learn to avoid the pitfalls and be able to identify ongoing issues that have important tax and accounting implications.

EMPHASIS:

Overview and objectives of the rules

Recent FASB guidance

Measurement and valuation of share-based payment transactions: Black-Scholes and Binomial/Lattice method

Recognition principle for share-based payment transactions

Accounting for modifications

Tax implications (FAS 109) (ASC 740)

- Additional Paid-In Capital (APIC)

- Deferred taxes

Disclosure requirements

US GAAP vs. IFRS: a comparison of stock-based compensation rules

Repricing

Application by public and private companies

Implementation considerations

Employee Stock Purchase Plans (ESPPs)

Performance-based awards

Latest SEC guidance