Financial Assets

Which of the following reasons is not a purpose of investment

• Accretion of wealth

• ownership control

• meeting business requirements

• Payment of loans

The following are financial assets except,

• Non-trading equity securities

• investment in subsidiary

• investment in joint venture

• investment property

Generally, investments are classified in the balance sheet as

• Current asset

• Non-current asset

• either current asset or non-current assets

• none of the above

Financial Asset is any asset that is

• Cash

• A contractual right to exchange financial instrument with another entity under conditions that are potentially unfavorable

• both choices are true

• none of the above

Financial Assets are fair value through profit or loss may classify as

• equity securities and debt securities

• equity securities only

• debt securities only

• none of the above

It encompasses any instrument representing ownership shares and rights, warrants or options to acquire or dispose of ownership shares at a fixed or determinable price.

• debt security

• equity security

• redeemable preference shares

• none of the above

What is the initial measurement of the financial asset

• Fair Value

• Face Value

• At Cost

• Amortized Cost

Subsequent measurement of an asset includes the following except

• Fair Value through profit or loss(FVTPL)

• Fair Value through other comprehensive income(FVOCI)

• Amortized Cost

• None of the above

It refers to the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date.

• Cash

• Quoted Price

• Unrealized gain

• Fair value

The following financial assets shall be measured at "fair value through profit or loss" except

• Trading securities

• Investment in quoted equity instruments

• Financial assets that are irrevocably designated as Fair value through profit or loss

• Debt Investment measured at fair value through profit or loss "bu default" in accordance with PFRS 9

• all of the above are measured at fair value through profit or loss