Question 1
When measuring the value of share options under IFRS 2, an entity generally applies which of the following?
A. Trinomial model
B. Stockyard option formula
C. Monte-Carlo simulation
Under IFRS 2, an entity typically uses the Black-Scholes model or a binomial model to estimate the fair value of share options. Therefore, the correct answer is not among the options provided. The Black-Scholes model is commonly used for estimating the grant-date fair value of share options under IFRS 2.
