Assertion: debt instrument's payment | /r/HasProperty | discounted at a market rate of interest
Facets:
value: for a similar debt
type: OTHER
Source sentences:
text: If a financing arrangement takes place which is at anything other than non-market rates then section 11.13 requires the entity to measure the financial asset/liability at the present value of the future receipts/payments discounted at a market rate of interest for a similar debt i.e. the rate of interest that would be charged on such a receivable/payable if the entity were to go to an outside party e.g. a bank etc. to get the credit.
text: Therefore we can work out the value that the market would place on these loan notes by looking at the present value of all the payments, discounted at the market rate of interest.