WebMay 2, 2024 · Under ASC Topic 718, a stock option repricing will generally require a company to take an incremental compensation expense to the extent that the repriced … WebJan 27, 2024 · ASC 718 provides guidelines for how companies should expense employee equity compensation. Companies must follow three steps in order to comply: Calculate the fair value of the option. Allocate that value as an expense over the option’s useful economic life. Report the expense on your income statement.
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