QUESTION 1 marks) (38 1. The requirement to settle an obligation by the issue of a fixed number of equity instruments issued by the company itself results in the recognition of a financial liability. True or false? 2. Which Accounting standards apply to Financial Instruments? . IFRS 37, IAS 7, and IAS 9 IAS 39, IAS 9 and 1ERSTA B. IFRS 799 Asar . IAS 39, IAS 9 and IFRS 9 D IAS 39, IAS 32 and IFRS 9 3. The reclassification of a financial asset is accounted for from the date the entity changes its business model for managing the financial asset. True or false? 4. Transaction costs are expensed if an investment in unlisted shares is initially measured at fair value through profit or loss. True or false? 5. A major competitor announced a reduction in the price of its blue tooth speakers during July 2020. The competitor was able to do this because of its ongoing investment in new technology Management had included the inventory of the blue tooth speakers on the draft statement of financial position at its cost of N$6 500 000. It is estimated that the net realizable value of this inventory at 30 June 2020 is N$5 000 000 because of the competitor's price reduction. The financial year end of the company is 30 June QUESTION 1 marks) (38 1. The requirement to settle an obligation by the issue of a fixed number of equity instruments issued by the company itself results in the recognition of a financial liability. True or false? 2. Which Accounting standards apply to Financial Instruments? . IFRS 37, IAS 7, and IAS 9 IAS 39, IAS 9 and 1ERSTA B. IFRS 799 Asar . IAS 39, IAS 9 and IFRS 9 D IAS 39, IAS 32 and IFRS 9 3. The reclassification of a financial asset is accounted for from the date the entity changes its business model for managing the financial asset. True or false? 4. Transaction costs are expensed if an investment in unlisted shares is initially measured at fair value through profit or loss. True or false? 5. A major competitor announced a reduction in the price of its blue tooth speakers during July 2020. The competitor was able to do this because of its ongoing investment in new technology Management had included the inventory of the blue tooth speakers on the draft statement of financial position at its cost of N$6 500 000. It is estimated that the net realizable value of this inventory at 30 June 2020 is N$5 000 000 because of the competitor's price reduction. The financial year end of the company is 30 June