PCAOB issues advice on stock option expensing

PCAOB issues advice on stock option expensing

Watchdog issues Q&A guidelines on stock options

US watchdog, the Public Company Accounting
Oversight Board
, has issued staff questions and answers about auditing the
value of stock options granted to employees

It provides direction for auditing a company’s estimation of the fair value
of stock options granted to employees under its revised statement on share-based
payments, standard, No. 123.

The standard became applicable for financial statements of companies with
fiscal years ending on or after 15 June 2006.

The questions and answers are available
here.

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