8.3 Your managing director has recently read an article which referred to Financial Reporting Standard 4 (FRS 4) – Capital instruments. He has requested a report from you about FRS 4. Requirement Write a report to the managing director explaining the nature of capital instruments, giving three examples of capital instruments together with their required accounting treat- ment as specified in FRS 4. CIMA, Financial Reporting, May 1995 (20 marks)
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