Economics · Financial Accounting - IAS 32 Presentation
Match the following financial instruments with their appropriate classification under IAS 32 (Financial Instruments: Presentation): 1. Irredeemable preference shares with dividends at issuer's discretion. 2. Interest-bearing convertible bond redeemable for cash or convertible into a fixed number of ordinary shares at the holder's option. 3. Redeemable preference shares that the issuer is obliged to redeem at a fixed future date for cash (discretionary dividends). 4. Ordinary shares with discretionary dividends.
- 11 - Equity Instrument, 2 - Equity Instrument, 3 - Financial Liability, 4 - Equity Instrument
- 21 - Equity Instrument, 2 - Compound Instrument, 3 - Financial Liability, 4 - Equity Instrument✓
- 31 - Equity Instrument, 2 - Equity Instrument, 3 - Financial Liability, 4 - Compound Instrument
- 41 - Financial Liability, 2 - Equity Instrument, 3 - Financial Liability, 4 - Compound Instrument
Correct answer
1 - Equity Instrument, 2 - Compound Instrument, 3 - Financial Liability, 4 - Equity Instrument
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