On 1 July 2019, Petal Ltd (Petal) made a 3-year loan of $400,000 to Flower Ltd (Flower) at an interest rate of 6% p.a. due annually in arrears on 30 June each year. The effective interest rate is 8%. Petal classifies the loan asset as subsequently measured at amortised cost. How much cash does Petal provide to Flower at the commencement of the loan? Explain the three options available to Petal to record the value of this loan receivable? Petal decides to subsequently measure this financial instrument at amortized cost. Prepare the amortization schedule for Petal. What factors influence whether an organisation records a premium or discount on acquisition of a financial instrument