Dear sir
Please
MaeJun 2019 no 3 IFRs9
In this OQ I m not understand these words are very noisy for me.
can u little explain for me
Hybrid contract,host contract and embedded derivate)
Hoping...
Ask the Tutor ACCA SBR
Hybrid contract,host contract and embedded derivate
5y ago#1You live in DOLLARLAND.
You agree to buy some potatoes from someone else in DOLLARLAND nut will pay them in RINGITT.
This HYBRID contract comprises:
1. Purchase of potatoes - HOST contract
2. Derivative on exchange rate between dollar and ringitt - EMBEDDED DERIVATIVE
Yeah So Thanks Sir
I ll try to understand
5y ago#3It won't be tested in numbers- so don't worry about calculations.
The key point in the example I gave is that you buy things in your own country you don't normally agree to pay in a different currency.
Sign into reply to this topic.