Financial liability: Difference between revisions
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imported>Doug Williamson m (Link with Derivative page and categorise the page.) |
imported>Doug Williamson m (Amend Derivative link to Derivative instrument.) |
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* [[Financial asset]] | * [[Financial asset]] | ||
* [[Financial instrument]] | * [[Financial instrument]] | ||
* [[Derivative]] | * [[Derivative instrument]] | ||
* [[IAS 32]] | * [[IAS 32]] | ||
* [[Liabilities]] | * [[Liabilities]] | ||
[[Category: | [[Category:Accounting,_tax_and_regulation]] | ||
Revision as of 17:41, 20 April 2014
IAS 32 defines a financial liability as liability that is any of the following:
1. A contractual obligation either to:
- Deliver cash or another financial asset to another entity; or
- Exchange financial assets or financial liabilities with another entity under conditions that are potentially unfavourable to the reporting entity.
2. A contract that will or may be settled in the reporting entity's own equity instruments, and is either:
- A non-derivative for which the entity is or may be obliged to deliver a variable number of the reporting entity's own equity instruments; or
- A derivative that will or may be settled other than by the exchange of a fixed amount of cash or another financial asset for a fixed number of the reporting entity's own equity instruments.
