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Accounting issuesIf it is determined Razor has a going concern issue the financial statements would have to bestated a liquidation value.Need to discuss more about it\The injection from DE should be considered a liability “ arguments for recording aslong termdebt: DE has stated that it wants Razor to pay back the 2M in the next few years which is morethan a year so long term”. IFRS XXXX – equity, the instrument must not included a contractual obligation to deliver cash oranother financial asset to an entity and that the presentation should be based on the overallsubstance rather than the form of the transaction. The parent company wants to be repaid in the next few year was indication that the transactionhad the substance of a liability and not that of an equity transaction. MM account receivable was probably overvalued. “to date there is discrepancy of 225000 whichmay be potentially be written off if MM is unwilling to pay”.