A Case Study Of Accounting Treatment Of Restrictive Stock In SC Joint-stock Company

Equity incentive is an indispensable part of salary management system in modern enterprises.After the split share structure reform,the form and content of equity incentive are becoming diversified and substantial,and the stock option based equity incentive plan is adopted by many listed companies.However,the poor-managede capital market and financial crisis and other factors led to the stock option once questioned,what's more,the limited stock incentive plan gradually went into people's vision.The author finds the GEM listed company SC company implemented the restricted stock incentive plan in the practice of case analysis.Through the two grade market repurchase shares,the company granted free incentive object,which is different from the non-public offering of stock.However,the existing enterprise accounting standards and the relevant provisions of the private placement only to below the market price accounting granted restricted stock incentive target of the specification,but in practice restricted stock sources have become diversified,and the "restriction" determines the particularity and complexity of the accounting treatment.So enterprises in the the implementation of restricted stock incentive plan will come out of nowhere? Is there a lag in the existing guidelines?With questions above,this paper using the method of normative analysis,defines the restricted stock which belongs to the payment in equity instruments of settlement shares,then analyzes the existing standards and related regulations,and summarizes the restricted stock incentive plan related theory on the basis of the literature.At last,taking SC Corporation restricted stock incentive plan as the researching object,the accounting and information disclosure incentive plan is analyzed and evaluated.In the course of the study,the author finds that SC companies ignored that the company stock price is volatile and incentive plan cycle is too long,in choosing fair value measurement in the restricted stock,and the records is not complete,also,the confused group of shares trading and information disclosure is not enough.At the same time,due to the imperfect standards and related regulations,the listed companies are random in choosing the fair value measurement methods of restricted stocks to disclose relevant information,and are reluctant.This paper concludes that SC company's restrictive stock incentive scheme by way of repurchasing has some irregularities in accounting treatment.In order to solve these problems,this paper provides some suggestions,which benefit the accounting treatment of similar incentive programs,promote the designation and implementation of the restricted stock,perfect the accounting information disclosure system,and give the equity incentive a full play.