OPINIONS OF THE ACCOUNTING PRINCIPLES BOARD
Accounting for Stock Issued to Employees
CONTENTS Paragraph
Numbers
Introduction 1—6
Scope of Opinion 1—4
Differing Views 5—6
Opinion 7—19
Noncompensatory Plans 7
Compensatory Plans 8—19
Services as Consideration for Stock Issued 9
Measuring Compensation for Services 10—11
Applying the measurement principle 11
Accruing Compensation Cost 12—15
Accounting for Income Tax Benefits 16—18
Disclosure 19
Effective Date 20
Measuring and Accounting for Compensation
Under Typical Plans (For Illustration Only) . .. Appendix A
Compensation Involved in Stock Option and
Stock Purchase Plans Appendix B
Issued by the Accounting Principles Board of the American Institute of Certified Public Accountants
COPYRIGHT 1972 BY THE AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS, INC. 666 FIFTH AVENUE, NEW YORK, NEW YORK 10019
OCTOBER 1972
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