? took it from Kaplan study text understanding 8
On 1 January 20X1 Magpie lends $2m to the supplier
the loan will be repaid in two year's time
it is measured at amortised cost
market interest rate is 8%
accounting entries 31 december 20x1
solution
2*(1/1.08^2)=1.71
Dr FA-1.71
Dr P/L-0.29----when we debit P/L what it is considered Impairment(loss allowance)?????
Cr Cash-2
thanks in advance
Ask the Tutor ACCA SBR
financial asset
Dear Tutor i did not copy the question i changed it.
5y ago#2I think the Dr to P&L is of the SUBSTANCE of an extra purchase cost - so I would Dr COS
Sign into reply to this topic.