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Stock Option Expensing Works, but Private Companies Struggle, Review Says

Tammy Whitehouse | August 19, 2014

The accounting standard requiring the expensing of stock options generally works as intended, although it’s a difficult rule for nonpublic companies to follow, according to a recent review by the Financial Accounting Foundation.

Golden-russ-0814The Financial Accounting Standards Board doesn’t plan to take up any rulemaking activity following the FAF review of Financial Accounting Statement No. 123R: Share-Based Payment, said FASB Chairman Russell Golden in his response to the review. Adopted in 2004 under a torrent...

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