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required prepare the statement of profit or loss ans other comprehensive income of duster Limited for the financial year-end 31 December 2021, showing only the
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prepare the statement of profit or loss ans other comprehensive income of duster Limited for the financial year-end 31 December 2021, showing only the line items and figures applicable to the debentures.
Duster Limited invested in debentures on 1 June 2021. 1500010% debentures were bought at their par value of R150. The debentures are redeemable at a premium of 5% on 31 May 2029. The transaction cost on the debenture purchase amounted to R5 000. The debentures pay interest annually at the end of the year, and the purchase price of the debentures is their fair value. The debentures are held within a business model with the objective to collect contractual cash flows that are solely payments of principal and interest on the principal outstanding on the specified dates. The interest is solely compensation for the time value of money and credit risk associated with the principal amount outstanding. The company has a 31 December year-endStep by Step Solution
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