Which of the following statements relating to accounting for share-based payments under ASC 718 and IFRS is false?

1. Both models apply to transactions with both employees and nonemployees
2. Both models distinguish between equity-classified and liability classified arrangements with the remeasurement of liability-classified awards in each reporting period until the liability is settled.
3. Both models require an accelerated method of attributing compensation cost to the service period for share-based arrangements with service conditions and graded vesting.
4. Both models require a fair-value approach to accounting for share-based arrangements