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compound instrument

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › compound instrument

  • This topic has 2 replies, 2 voices, and was last updated 5 years ago by Stephen Widberg.
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  • March 18, 2021 at 12:14 pm #614681
    Jiya024
    Member
    • Topics: 168
    • Replies: 56
    • ☆☆☆

    sir in case of compaund instruments, when convertible debt holders do not convert their debt into equity, the balance in other components of equity remains as it is as a non-distributable reserve, but why?

    March 18, 2021 at 12:17 pm #614682
    Jiya024
    Member
    • Topics: 168
    • Replies: 56
    • ☆☆☆

    like why can’t we transfer that balacane existing in other components of equity to retained earnings (distributable reserve)?

    March 19, 2021 at 12:49 pm #614785
    Stephen Widberg
    Keymaster
    • Topics: 17
    • Replies: 3444
    • ☆☆☆☆☆

    You can transfer it – it’s just something that probably won’t come in SBR

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