(a) Define the terms ‘financial instrument, ‘financial asset’, ‘financial liability’ and ‘equity instrument’. 

(b) Which of the following is a “financial instrument’ as defined by IAS 32? Give reasons for your answer.

(i) Cash 

(ii) Investment in a debt instrument 

(iii) Investment in a subsidiary 

(iv) Provision for restoration of a rhine site 

(v) Buildings owned by a reporting entity 

(vi) Leases 

(vii) Trade receivables 

(viii) An investment in an associate 

(ix) A non-controlling interest in a partnership 

(x) Provision for employee benefits.