FAC3703
ASSIGNMENT 1 SEMESTER 1 2024
Unique Number:
DUE DATE: 09 April 2024
Terms of use
By making use of this document you agree to:
• Use this document as a guide for learning,
comparison and reference purpose,
• Not to duplicate, reproduce and/or misrepresent the
contents of this document as your own work,
• Fully accept the consequences should you plagiarise
or misuse this document.
Disclaimer
Extreme care has been used to create this
document, however the contents are provided “as
is” without any representations or warranties,
express or implied. The author assumes no
liability as a result of reliance and use of the
contents of this document. This document is to
be used for comparison, research and reference
purposes ONLY. No part of this document may be
reproduced, resold or transmitted in any form or
by any means.
, 0688120934
PREVIEW
FINANCIAL INSTRUMENTS & LEASES
(a) Classification. Initial Recognition and Initial Measurement of Debentures
Classification
There is a liability component resulting from Best Electronics Ltd obligation to make
scheduled payments of interest and principal
as long as the debentures are not converted
The equity instrument is an embedded option of the holder to convert the liability into
equity of Best Electronics Ltd which can be
exercised at the end of the five year period
Considering that the financial instrument consists of both a liability and equity
component, this will be classisfied as a compound
financial instrument
Disclaimer
Extreme care has been used to create this document, however the contents are provided “as is”
without any representations or warranties, express or implied. The author assumes no liability as
a result of reliance and use of the contents of this document. This document is to be used for
comparison, research and reference purposes ONLY. No part of this document may be
reproduced, resold or transmitted in any form or by any means.
ASSIGNMENT 1 SEMESTER 1 2024
Unique Number:
DUE DATE: 09 April 2024
Terms of use
By making use of this document you agree to:
• Use this document as a guide for learning,
comparison and reference purpose,
• Not to duplicate, reproduce and/or misrepresent the
contents of this document as your own work,
• Fully accept the consequences should you plagiarise
or misuse this document.
Disclaimer
Extreme care has been used to create this
document, however the contents are provided “as
is” without any representations or warranties,
express or implied. The author assumes no
liability as a result of reliance and use of the
contents of this document. This document is to
be used for comparison, research and reference
purposes ONLY. No part of this document may be
reproduced, resold or transmitted in any form or
by any means.
, 0688120934
PREVIEW
FINANCIAL INSTRUMENTS & LEASES
(a) Classification. Initial Recognition and Initial Measurement of Debentures
Classification
There is a liability component resulting from Best Electronics Ltd obligation to make
scheduled payments of interest and principal
as long as the debentures are not converted
The equity instrument is an embedded option of the holder to convert the liability into
equity of Best Electronics Ltd which can be
exercised at the end of the five year period
Considering that the financial instrument consists of both a liability and equity
component, this will be classisfied as a compound
financial instrument
Disclaimer
Extreme care has been used to create this document, however the contents are provided “as is”
without any representations or warranties, express or implied. The author assumes no liability as
a result of reliance and use of the contents of this document. This document is to be used for
comparison, research and reference purposes ONLY. No part of this document may be
reproduced, resold or transmitted in any form or by any means.
