Equity Instruments

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..... y shares. Note:- If there is any statutory right to receive cash or statutory obligation to deliver cash, then it will not be classified as Financial Asset or Financial Liability [Ex- Income Tax Payable] If an entity issues preference shares or debentures or taken a loan then that preference share/debentures/loan need to classify as financial liability or equity instrument. .....

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..... the company Such Instrument shall be treated as Equity . If Interest/Dividend is payable Mandatory Financial Liability Discretionary - Equity If such Instrument is convertible in Variable no. of Equity Shares of Entity Financial Liability Fixed no. Equity Shares of Entity If it is Comp .....

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