Share Capital Subscribed not yet Issued
I am FD of UK Ltd compnay which uses IFRS accounting.
An investor has subcribed for new shares pre year end but has not yet paid for them and therefore they have not been issued to him.
The Subscription Agreement is unconditional and therefore legally enforceable and the investor has provided security pending payment.
Is there a way of recognising the equity at the year end? There would I guess need to be an alternative to the Issued Share Capital heading as the shares haven't been issued. Or could you use this line and then add for clarity that pending receipt of cash x number of shares have not yet been issued.