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Kim Ltd has $500K in its bank account. The company intends to use a majority of its cash to expand its operations. The cash outflow
Kim Ltd has $500K in its bank account. The company intends to use a majority of its cash to expand its operations. The cash outflow required for the expansion is expected to take place in a months time. In the meanwhile, the companys CFO decides to invest in the shares of J.Zee Ltd and intends to sell the shares when cash is required for its expanded operations. How should the investment be classified?
Choose one of the following answers.
Fair value through profit or loss | |
None of the above | |
Fair value through OCI | |
Loans and receivables | |
Amortised cost |
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