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J12 Q1

This topic has 1 reply, 2 voices, and was last updated 3 years ago by John Moffat.

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December 4, 2021 at 3:04 pm #642500
humai
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Sir while calculating d1 and d2 in bsop shall we take d1 and d2 correct to 2 decimal places?
Secondly why they have taken MV of debt as 6500? As it is the nominal value not the market value
December 5, 2021 at 7:48 am #642546
John Moffat
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You would not lose marks by taking them to two decimal places.
The debt is not traded debt and therefore there is no market value. The amount of the loan is the amount borrowed and this is the amount that will appear in the SOFP.
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