Cobalt SA has so far classified as a non-current liability a loan of 2,400,000, repayable in 2030. The contract includes a covenant to be complied with at 31 December 2026, the closing date; it is not complied with at that date (case facts). Cobalt therefore no longer has, at the closing date, the right to defer settlement of the loan. Record the presentation entry that reclassifies the loan.
- Amount of the loan reclassified
- 2,400,000