Under IFRS, if an entity issues 5% preferred stock that gives shareholders the right to redeem the shares for cash equal to par value after 3 years. How should this stock be accounted for on the books of the entity?

	A.	Initially as equity and then reclassified as a liability when the redemption occurs.
	B.	As equity or a liability at the option of the entity
	C.	As a liability since the entity cannot avoid settlement through delivery of cash if the holder demand redemption.
	D.	As both equity and liability by split accounting.