Loss or gain on the extinguishment of debt made is an extraordinary item .Yes or No?

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When reporting extraordinary items,
Posted by:
Moataz Ali Sobhi
26-February-2015

Asset Management Accounting Financial Analysis Financial Management

Question added by Khan Sohal khan , Associate , State Street Syntel Services Pvt Ltd.
Date Posted: 2015/04/29

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1 Answers

by Imran Adwani , Head of Internal Audit , Abdulla Bin Zayed Investment Group

If the said transaction meets the criterion of extra ordinary items (infrequent in occurrence and unusual in nature) then the answer is 'yes'.

However, if debt refinancing is just a normal risk management tool for the company then the answer is 'no'.

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