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On 1 January 2021, an entity issued convertible loan notes for $100,000. Interest is payable annually in arrears at 4%. The market rate of interest

On 1 January 2021, an entity issued convertible loan notes for $100,000. Interest is payable annually in arrears at 4%. The market rate of interest for similar loan notes with no conversion rights attached is 7%. The loan notes are redeemable on 31 December 2024. the equity component is

a. 10162 b. 444 c. 12000 d. 35,363

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