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Accountants Like Options @nalyst |
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New York, NY, February 2, 1997 – FASB's Standard No. 123,
"Accounting for Stock-Based Compensation
Arrangements", issued in October 1995, requires all companies
with stock option or stock purchase plans to disclose the impact of
those plans on the income statement. In addition, public companies
must also estimate the future volatility of their stock price
for their employee options.
The Standard further stipulates that the option values be estimated using accepted option pricing formulas such as the Black-Scholes Pricing Model or the Binomial Model, and that the computed value must be amortized to expense over the vesting period. |
Options @nalyst provides the functions necessary for pricing these options,
and allows you to do these complex calculations conveniently from
within your spreadsheet. Our pricing functions include
bsopt, which uses the Black-Scholes Pricing Model,
and our volatility functions include voltcc,
which determines historical volatility based on closing prices;
these models are FASB Standard No. 123 compliant.
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