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Basic Question 12 of 15

If awards vest automatically when an employee retires, FAS 123 (R) requires

A. full recognition of expense when the employee becomes eligible to retire even if the employee remains employed.
B. partial recognition of expense based on the ratio of vesting period and how long the employee expects to work until retirement.
C. no recognition of expense.

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Lina

Lina

Learning Outcome Statements

explain the financial reporting of defined contribution, defined benefit, and stock-based compensation plans

CFA® 2025 Level I Curriculum, Volume 2, Module 8.