在rsu vest时，I/S 记录exp，B/S 里有两步，一是记录到share-based reserve，第二步 是从第一步

问题如下：

Question When restricted stock units vest, the accounting entries include:

选项：

A.A.a transfer between two balance sheet accounts. B.B.a compensation charge on the income statement. C.C.an adjustment on the statement of cash flows when using the direct method.

解释：

Solution

1. Correct because when restricted stock units (RSUs) vest, settlement occurs automatically, converting to common stock. The only accounting entry required is transferring amounts from the share-based compensation reserve account to common stock and paid-in capital accounts on the balance sheet.

2. Incorrect because when RSUs vest, settlement occurs automatically, converting to common stock. The only accounting entry required is transferring amounts from the share-based compensation reserve account to common stock and paid-in capital accounts on the balance sheet.

3. Incorrect because when RSUs vest, settlement occurs automatically, converting to common stock. The only accounting entry required is transferring amounts from the share-based compensation reserve account to common stock and paid-in capital accounts on the balance sheet. As a non-cash transaction, share-based compensation does not impact cash flows. If a company prepares its statement of cash flows using the indirect method, share-based compensation expense will be added back to reconcile net income to cash flows from operating activities.

Employee Compensation: Post-Employment and Share-Based

• explain how share-based compensation affects the financial statements