- CFA Exams
- CFA Level I Exam
- Topic 3. Financial Statement Analysis
- Learning Module 11. Employee Compensation: Post-Employment and Share-Based
- Subject 5. Accounting for Stock-Based Compensation
CFA Practice Question
Companies are required by FAS 123 to expense Employee Stock Purchase Plans if purchase price discount is less than 5% or less of stock price. True or False?
Correct Answer: False
It should be "... is 5% or more of stock price."
User Contributed Comments 1
| User | Comment |
|---|---|
| quanttrader | if discount is =+5% then expense, otherwise no need. |