Section 47 in The Companies (Indian Accounting Standards) Rules, 2015
47. If the entity has measured the fair value of goods or services received as consideration for equity instruments of the entity indirectly, by reference to the fair value of the equity instruments granted, to give effect to the principle in paragraph 46, the entity shall disclose at least the following:
(a)for share options granted during the period, the weighted average fair value of those options at the measurement date and information on how that fair value was measured, including:(i)the option pricing model used and the inputs to that model, including the weighted average share price, exercise price, expected volatility, option life, expected dividends, the risk-free interest rate and any other inputs to the model, including the method used and the assumptions made to incorporate the effects of expected early exercise;(ii)how expected volatility was determined, including an explanation of the extent to which expected volatility was based on historical volatility; and(iii)whether and how any other features of the option grant were incorporated into the measurement of fair value, such as a market condition.(b)for other equity instruments granted during the period (i.e. other than share options), the number and weighted average fair value of those equity instruments at the measurement date, and information on how that fair value was measured, including:(i)if fair value was not measured on the basis of an observable market price, how it was determined;(ii)whether and how expected dividends were incorporated into the measurement of fair value; and(iii)whether and how any other features of the equity instruments granted were incorporated into the measurement of fair value.(c)for share-based payment arrangements that were modified during the period:(i)an explanation of those modifications;(ii)the incremental fair value granted (as a result of those modifications); and(iii)information on how the incremental fair value granted was measured, consistently with the requirements set out in (a) and (b) above, where applicable.
