REQUEST OF THE EUROPEAN DEVELOPMENT AND
     GLOBALIZATION: THE PAYMENT BASED ON SHARES
                       (IFRS 2)

                    Gheorghe Lepădatu, Associate Professor PhD
                 „Dimitrie Cantemir” Christian University of Bucharest
                                cilezbujor@yahoo.com


ABSTRACT: The share-based payment represents, for sure, a challenge for the
business world in Romania and will certaintly gain ground. The initial
acknowledgement is made in compliance with the rules provided in the General
Frame for drawing up and presentation of the financial positions. In case that the
payment is effected before the reception of the goods or services, the entity will
acknowledge an advance payment granted. Depending on the manner in which the
settlement will be done, the entity will acknowledge in counter-trade of the received
goods or services either an increase of capital, or a debt. The problem of accounting
the share options, especially those issued for the executive staff and for other
employees of a company, in direct compensation for their efforts, has been disputed
for a long time.

Keywords: balance sheet, opening IFRS, previous GAAP, shares, financial instruments, fair
value

JEL Codes: M41