9 PR Ltd has issued 6% loan notes with a nominal value of 65,000 at 1 January 2018. Issue costs totalled 750. The effective interest rate for the loan notes is 8%. What is the finance cost in the statement of profit or loss for the year ended 31st Decembe 2021? ABCD 5,200 3,855 5,140 3,900 4 Question 10 Plum Ltd is suing a supplier for damages. Legal advisors have said that there is a 40% chance that Plum Ltd will win the case. If they do win, Plum Ltd would receive compensation of approximately 300,000. What is the correct accounting treatment of the above? ABCD Do not disclose the issue Disclose the issue Recognise an asset for 160,000 Recognise an asset for 300,000 Section A-Total 20 marks available Question 9 PR Ltd has issued 6% loan notes with a nominal value of 65,000 at 1 January 2018. Issue costs totalled 750. The effective interest rate for the loan notes is 8%. What is the finance cost in the statement of profit or loss for the year ended 31 Decembe 2021? ABCD 5,200 3,855 5,140 3,900 4 Question 10 Plum Ltd is suing a supplier for damages. Legal advisors have said that there is a 40% chance that Plum Ltd will win the case. If they do win, Plum Ltd would receive compensation of approximately 300,000. What is the correct accounting treatment of the above? ABCD D Do not disclose the issue Disclose the issue Recognise an asset for 160,000 Recognise an asset for 300,000 Section A -Total 20 marks available