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Financial instruments

Example 3.4

Lucas invested in 15,000 shares of a listed company in November 20X7 at a
cost of $6.30 per share. Transaction costs relating to the investment were
$1,950. At 31 December 20X7, the shares have a market value of $7.35. The
shares are intended to be held for the long term.

Required:

Prepare extracts from the statement of profit or loss for the year ended 31
December 20X7 and a statement of financial position as at that date.

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