1. The Company is a dormant company, all the expenses incurred by the Company is paid by the Directors. There is no interest charge by the Directors and there is no fixed terms of repayments. Under IFRS for SME, how should we compute the present value of the amount owing Directors. What should be the double entries to take up the NPV in the Company's book.
2. If the Directors waived the amount, is this consider as derecognition of financial liability? What is the double entries to take up the amount waived?