Accounting For Stock Options

This program covers the principles of expensing stock options, where fundamental changes in financial reporting have attracted a large amount of controversy. This session leads participants through the logic of the expensing rule along with the implications of how it is applied in practice in financial statements.

• The logic of expensing stock options
• Earnings and cash flow statement impact
• Fair value estimation
• Expensing the fair value
• US, IFRS comparison
• Implications on multiples
• Implications for DCF models
• ROC and EP analysis implications