draft a short letter to a client who will be impacted by the IASB’s “Amendments to the Classification and Measurement of Financial Instruments” project explaining the impact of the amendments to IFRS 9 Financial Instruments.
a) Provide a brief overview of the proposed amendments to IFRS 9 Financial Instruments without technical using accounting terminology
b) ) Explain the possible impacts of the amendments to IFRS 9 Paragraph 3.3 on your client. Your letter should illustrate how these amendments if approved, will impact the recognition and presentation of the above financial liabilities in the client’s annual report. Hint: Consider how the proposed amendments would impact key financial performance metrics and disclosure requirements in the client's financial statements.
| description | amount | payment initiation date | expected settlement time |
| payable to an Australian supplier | 150,000 | 25 june 2023 | 1 day |
| payable to a supplier based in china | 200,000 | 28 june 2023 | 5 days |
| miscellaneous account payables | 300,000 | 31 july 2023 | 1-3 days |
| loan payable to subsidiary | 1,000,000 | 30 june 2023 | 5 days |
| 7% debentures | 2,000,000 | 30 june 2025 | 7-14 days |
| total financial liabilities | 3,650,000 | | |
