FI IFRS 9

I think I now have a better understand of financial instrument reading through your text : especially convertible debentures ( equity element & debt element and the accounting treatment . Also, the differences btw the interest paid and effective interest rate.

One technical view is that d agregate of the carried forward and interest paid is equal to the sum of the brought forward figure and effective interest rate.

Before , I used to calculate the interest paid based on the figure brought forward instead of using the principal amount .

Question: you said if there are transaction cost associated with the issue of compound instrument , will should apportion the cost to both the debt and equity elements.

Does that mean after calculating the both figures, we can then apportion the costs ?

Since first recognition is FV – cost of issue .