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Golden Ltd acquired some call options in shares of DOB Ltd. The options were written by Silver Ltd, which provided Golden Ltd with the right

Golden Ltd acquired some call options in shares of DOB Ltd. The options were written by Silver Ltd, which provided Golden Ltd with the right to acquire shares in DOB Ltd at a certain price in three years time.

How should DOB Ltd recognise the call options?

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DOB Ltd needs to recognise equity instruments.

DOB Ltd needs to recognise financial assets.

DOB Ltd needs to recognise financial liabilities.

DOB Ltd does not need to recognise anything.

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