In a share-based payment transaction like an option,vesting date is:
A) date of grant.
B) expiry date of option.
C) date when all vesting conditions are satisfied.
D) balance date.
E) None of the given answers.

Question

Quizplus · Accepted Answer

Vesting date is the date when all vesting conditions are satisfied, meaning when the employee has earned the right to exercise their option and acquire the shares at the grant price. This is the date when the option becomes exercisable. The date of grant refers to the date when the option was initially awarded to the employee, and the expiry date is the date by which the option must be exercised, after which it becomes worthless. The balance date is a term used in accounting to refer to the end of an accounting period.

In a Share-Based Payment Transaction Like an Option,vesting Date Is