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Abdulla BSC issued 100,000 BHD100 loan notes at par on 1 January 2021. Issue costs of BHD50,000 were incurred on that date. The loan notes
Abdulla BSC issued 100,000 BHD100 loan notes at par on 1 January 2021. Issue costs of BHD50,000 were incurred on that date. The
loan notes pay interest annually in arrears on 31 December of 5% of par value. The loan notes will be redeemed at a premium on 31
December 2025 and carry an effective interest rate of 7%.
What one is the correct carrying amount of the loan notes at 31 December 2021?
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