IFRS AS IP - Classification of Loans as current non-current 2024-2025

The following diagram depicts the requirements of IAS 1.72B: Is compliance with the covenant required on or before the end of the reporting period? Yes No Covenant affects whether the right to Covenant does not affect whether the defer settlement for at least twelve right to defer settlement for at least months exists at the end of the twelve months exists at the end of the reporting period report. [...] If the breach of covenant occurred on or before the end of the reporting period and the waiver or period of grace was received after the end of the reporting period, the entity would not have a right to defer settlement for at least twelve months at the end of the reporting period. [...] For the purpose of classification of a liability as non-current, the existence of the right to defer settlement for at least twelve months after the end of the reporting period must exist at the end of the reporting period (IAS 1.69(d)). [...] As a result, at the end of the reporting period, Entity A has the right to defer settlement of the liability for a period of twelve months after the end of the reporting period. [...] As a result, at the end of the reporting period, Entity A has the right to defer settlement of the liability for a period of twelve months after the end of the reporting period.