alleryStart learning →50 staff hold 500 SARs each, 2-year vesting. SAR fair value is Rs 14 at end of year 1. Year 1 expense?
ARs 350,000
BRs 87,500
CRs 125,000
DRs 175,000
Answer & Solution
Correct answer: D. Rs 175,000
50 x 500 x Rs 14 = Rs 350,000 liability at full vesting, and half after year 1 is Rs 175,000.
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