: The FASB expanded Topic 718 to align the accounting for nonemployee share-based payments more closely with the rules for employee awards.
: The core requirement is to recognize the cost of services received in exchange for share-based awards based on the fair value of those awards at the grant date. 718 dsivlgcplzip
: It applies to all share-based payment transactions with both employees and nonemployees . : The FASB expanded Topic 718 to align
: Companies must "expense options," meaning they record the value of the equity granted as an expense on their income statement over the period the recipient provides the service (the vesting period). Scope and Applicability 718 dsivlgcplzip