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Question
SFAS No. 123 was issued as a compromise to the FASB's original position regarding stock options as it
A. required companies to continue following the approach used in APB No. 25.
B. required companies to measure the fair value of stock options and charge this to expense.
C. allowed companies to choose either the APB No. 25 approach or expense the fair value of the options.
D. abandoned any reference to recognition of expense for options.
Answer
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