Blackburn Ltd grants 50 share options to each of its 150 employees on 1 July 2009.Each grant is conditional upon the employee working for the company for 3 years following the grant date.On grant date,the fair value of each option is estimated to be $12. Estimated value of the option for the year ending 2010,2011 and 2012 is $10,$13,$14 respectively.
Information on employee departures at the end of each year follows:

\begin{array} { | l | l | l | } \hline \text { Year ending 30 June } & \text { Actual departures } & \begin{array} { l } \text { Revised estimate of departures } \\\text { before option vests }\end{array} \\\hline 2010 & 7 & 22 \% \\\hline 2011 & 6 & 18 \% \\\hline 2012 & 4 & \text { NA } \\\hline\end{array}

What would be the appropriate journal entry to account for the share-based payment transaction for the year ending 30 June 2010?
A)

\begin{array} { | l | l | r | r | } \hline \mathrm { Dr } & \text { Employee benefits expense } & 19500 & \\\hline \mathrm { Cr } & \text { Share capital (equity) } & & 19500 \\\hline\end{array}

\begin{array} { | l | l | r | r | } \hline \mathrm { Dr } & \text { Employee benefits expense } & 23400 & \\\hline \mathrm { Cr } & \text { Share capital (equity) } & & 23400 \\\hline\end{array}

\begin{array} { | l | l | r | r | } \hline \mathrm { Dr } & \text { Employee benefits expense } & 23833 & \\\hline \mathrm { Cr } & \text { Share capital (equity) } & & 23833 \\\hline\end{array}

\begin{array} { | l | l | r | r | } \hline \mathrm { Dr } & \text { Employee benefits expense } & 28600 & \\\hline \mathrm { Cr } & \text { Share capital (equity) } & & 28600 \\\hline\end{array}

Which of the Following Items Are Not Considered Share-Based Payment

Multiple Choice

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