- This topic has 1 reply, 2 voices, and was last updated 1 year ago by .
- You must be logged in to reply to this topic.
Congratulations to Jamil from Pakistan and Jeeva from Malaysia - Global Prize winners!
see all ACCA December 2022 Genius Hunt Competition winners >>
Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>
Hi Chris/ Stephen,
Please help me understand below.
A financial asset is any asset that is a contractual right to exchange financial instruments with another entity under conditions that are potentially favourable to the entity. And this comes as potentially UNFAVOURABLE for financial liabilities.
What does these two mean?
FA – Right or obligation to swap shares worth 10 for shares worth 15 – a good thing
FL = Obligation to swap a loan liability of 10 for a loan liability of 12 – a bad thing.
That’s my best guess.