Debt or equity

Hello dear tutor…

I have studied ACCA’s related article about debt and equity and now I have 2 main questions about classification of debt and equity in two seperate parts(A and B) as follows:

Part A:
I know that:
-if there is unconditional right to avoid repayment for the issuer,this will be classified as equity.
-if the issuer cannot avoid repayment, this will be classified as debt.

My question is about conditional repayment as follows:
Is it correct to say:
1-if conditions are beyond the control of both parties(issuer and holder), this will be classified as DEBT.
2-if conditions are under the control of the holder,this will be DEBT again.
3-if conditions are under the control of issuer, this will be classified as EQUITY.

Part B:
1-In June 2014-Q4b,in realtion to LIDAN’s B shares,if the lowest price of LIDAN’s A share since its information was 0.5(lower than 1 ie nominal value of B shares)instead of 5,does the classification change from liability to equity?if yes why?if no,what should happen for A shares in order to change the classification of B shares from debt to equity?

2-in the answer examiner said:
“Where a contract has settlement options,it is debt unless all of the settlement alternatives result in it being an equity”.
What does this sentence mean?

Thank you