prepare any necessary entries in e s financial statements as at dec 31 for the years 613353

Award of shares to a fixed monetary value

On 1 January 2013, the reporting entity grants:

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to Employee A an award of 1,000 shares subject to remaining in employment until 31 December 2015; and
to Employee B €10,000 subject to remaining in employment until 31 December 2015, to be paid in as many shares as are (on 31 December 2015) worth €10,000.

Both awards vest, and the share price on 31 December 2015 is €10, so that both employees receive 1,000 shares.

The IFRS 2 charge for A’s award is clearly 1000 × the fair value as at 1 January 2013 of a share deliverable in three years’ time. What is the charge for B’s award – the same as for A’s or €10,000, adjusted for the time value of money?

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