Financial asset: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Layout.) |
imported>Doug Williamson (Add link.) |
||
| (7 intermediate revisions by the same user not shown) | |||
| Line 1: | Line 1: | ||
''Financial markets.'' | |||
A financial asset is an asset whose value is dependent on the obligation of another person or entity. | A financial asset is an asset whose value is dependent on the obligation of another person or entity. | ||
| Line 4: | Line 6: | ||
IAS 32 defines a financial asset as an asset that is <u>any of</u> the following: | IAS 32 defines a financial asset as an asset that is <u>any of</u> the following: | ||
2. An equity instrument of another entity; <u>or</u> | :'''1.''' Cash; <u>or</u> | ||
:'''2.''' An equity instrument of another entity; <u>or</u> | |||
3. A contractual right to: | :'''3.''' A contractual right to: | ||
*Receive cash or another financial asset from another entity; <u>or</u> | :*Receive cash or another financial asset from another entity; <u>or</u> | ||
*Exchange financial assets or financial liabilities with another entity under conditions that are potentially favourable to the reporting entity; <u>or</u> | :*Exchange financial assets or financial liabilities with another entity under conditions that are potentially favourable to the reporting entity; <u>or</u> | ||
4. A contract that will or may be settled in the reporting entity's own equity instruments and is <u>either</u>: | |||
*A non-derivative for which the entity is or may be obliged to receive a variable number of the entity's own equity instruments; <u>or</u> | :'''4.''' A contract that will or may be settled in the reporting entity's own equity instruments and is <u>either</u>: | ||
*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 entity's own equity instruments. | :*A non-derivative for which the entity is or may be obliged to receive a variable number of the entity's own equity instruments; <u>or</u> | ||
:*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 entity's own equity instruments. | |||
| Line 20: | Line 26: | ||
* [[Amortised cost]] | * [[Amortised cost]] | ||
* [[Assets]] | * [[Assets]] | ||
* [[Capital]] | |||
* [[Capital instrument]] | |||
* [[Capital market]] | |||
* [[Entity]] | |||
* [[Equity instrument]] | |||
* [[Financial]] | |||
* [[Financial instrument]] | * [[Financial instrument]] | ||
* [[Financial liability]] | * [[Financial liability]] | ||
* [[Financial markets]] | |||
* [[IAS 32]] | * [[IAS 32]] | ||
* [[Money market]] | |||
* [[Primary market]] | |||
* [[Real asset]] | |||
* [[Reporting entity]] | |||
* [[Secondary market]] | |||
* [[Secured debt]] | |||
[[Category:Accounting,_tax_and_regulation]] | |||
Latest revision as of 21:55, 11 March 2023
Financial markets.
A financial asset is an asset whose value is dependent on the obligation of another person or entity.
IAS 32 defines a financial asset as an asset that is any of the following:
- 1. Cash; or
- 2. An equity instrument of another entity; or
- 3. A contractual right to:
- Receive cash or another financial asset from another entity; or
- Exchange financial assets or financial liabilities with another entity under conditions that are potentially favourable to the reporting entity; or
- 4. 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 receive a variable number of the 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 entity's own equity instruments.
