Question: A company issued 5% Loan notes at their nominal value of GHS20,000. THE Loan notes are repayable at par after 4 years. Required: (i). What

A company issued 5% Loan notes at their nominal value of GHS20,000. THE Loan notes are repayable at par after 4 years.

Required:

(i). What amount will be recorded as a financial liability when the loan noted are issued? (ii). What amount will be shown in the income statement and statement of financial position for the years 1 4?

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