2 The following are investment transactions o Creative Solutions, which took place durig the current fiscal year Purchased 500 shares of Laser Jet Co. for RM20 per share plus brokerage costs of RM640. These shares were classified as a Fair Value through Profit or Loss (FVPL) securities Acquired 3,000 shares of Minor Conglomerate's stock for RM25 per share plus RM700 transaction costs. These shares were classified as a Fair Value through Other Comprehensive Income (FVOCI) securities. Purchased 50,000 of the 200,000 outstanding 'common shares of Falthom Corp. for RM600,000. The cost of the investment exceeded the book value of nett assets acquired by RM320,000. This difference is due to the excess of fair value over the carrying value of Falthom's depreciable assets. Falthom's depreciable assets have a remaining life of 20 years Falthom Corp. reported second quarter earnings total of RM60,000.) Received a RM3.50 per share dividend on Laser Jet Co. shares 4 January 4 March 12 April 42 30 June 1 August 31 December Market values of Laser Jet Co. and Minor Conglomerate stock were RM24 and RM18 per share, respectively. Required: (a) Discuss the requirements outlined in MFRS 9 before a security could be classified as a (i) Fair Value through Profit or Loss (FVPL) (ii) Fair Value through Other Comprehensive Income (FVOCI) 2 The following are investment transactions o Creative Solutions, which took place durig the current fiscal year Purchased 500 shares of Laser Jet Co. for RM20 per share plus brokerage costs of RM640. These shares were classified as a Fair Value through Profit or Loss (FVPL) securities Acquired 3,000 shares of Minor Conglomerate's stock for RM25 per share plus RM700 transaction costs. These shares were classified as a Fair Value through Other Comprehensive Income (FVOCI) securities. Purchased 50,000 of the 200,000 outstanding 'common shares of Falthom Corp. for RM600,000. The cost of the investment exceeded the book value of nett assets acquired by RM320,000. This difference is due to the excess of fair value over the carrying value of Falthom's depreciable assets. Falthom's depreciable assets have a remaining life of 20 years Falthom Corp. reported second quarter earnings total of RM60,000.) Received a RM3.50 per share dividend on Laser Jet Co. shares 4 January 4 March 12 April 42 30 June 1 August 31 December Market values of Laser Jet Co. and Minor Conglomerate stock were RM24 and RM18 per share, respectively. Required: (a) Discuss the requirements outlined in MFRS 9 before a security could be classified as a (i) Fair Value through Profit or Loss (FVPL) (ii) Fair Value through Other Comprehensive Income (FVOCI)