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(b) Wintergreen Bhd enter into an agreement with a landlord to lease a building for 6 years. The lease rental for the first year is

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(b) Wintergreen Bhd enter into an agreement with a landlord to lease a building for 6 years. The lease rental for the first year is fixed at RM500,000, payable in arrears at the end of the year. 7 Required: Determine whether the lease agreement contains an embedded derivatives if the subsequent lease rentals are: (0) increased at a rate of 7.5% per annum. (li) are adjusted for equivalent changes in the property price index. (4 marks)

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