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Stephen Widberg.
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Sourav9271
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Hello sir,
When we issue debt Dr Cash Cr Fin Liab @proceeds.
When we buy debt Dr Inv Cr Cash/bank @cost..So don’t we need to find the financial liability by p.v of future cash flows?
Or is this method only relevant for Lease liab and convertible debts?
Stephen Widberg
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Perfect summary. Well done. 🙂
Only funnies:
1. Leases
2. Convertibles
3. (one more!) If you lend money interest free – e.g. to employees – need to discount to PV using whatever interest rate they give you (somewhere) in the question.
Sourav9271
Stephen WidbergViewing 2 posts - 1 through 2 (of 2 total)
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