1.         Investing Ltd acquired 20 000 shares for N$12,00 per share on 1 June 2021.

Transaction costs amounted to N$2 500. The fair value of these shares as at 31 December 2021 was N$11,00 per share.

Calculate the gain or loss recognised on these shares as at 31 December 2021.

1. 2 Investing Ltd acquired 20 000 shares for N$12,00 per share on 1 June 2021. Transaction costs amounted to N$2 500. The fair value of these shares as at 31 December 2021 was N$11,00 per share. Investing Ltd acquired these shares for speculative purposes.

The investment is initially recognized at amortised cost. True or false:

3. Financial assets and liabilities are measured on initial measurement at the transaction price. True or false?

4. Prepaid expenses are financial assets. True or false?

5. Transactions costs are expensed in the case of financial assets and liabilities classified as subsequently measured at fair value through profit and loss. True or false?

6.