Page 46 - Financial Accounting 2.1 ITC Preparation June 2018
P. 46

ITC EXAM PREP – JUNE 2018



                                Substantive rights - solution









































                     If the exercise price of the options is substantively more than the

                     current share price of S Ltd, the option would not be a substantive right

                     as P Ltd would not benefit from exercising the right.





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