New Enroll here to Join NaBFID Analyst Into Class on May 6

    Question

    Share Options Outstanding Account is shown on the

    liabilities side in the Balance Sheet under the head:
    A Current Liabilities Correct Answer Incorrect Answer
    B Share Capital Correct Answer Incorrect Answer
    C Reserves and Surplus Correct Answer Incorrect Answer
    D None of these Correct Answer Incorrect Answer

    Solution

    Share Options Outstanding Account is typically shown on the liabilities side of the balance sheet under the head "Reserves and Surplus." This account represents the potential liability arising from share options that have been granted to employees or other parties but have not been exercised or settled at the balance sheet date. It is recorded as part of the company's equity reserves until the options are exercised, at which point it may result in a change in equity.

    Practice Next