XYZ Ltd. is a manufacturing company engaged in the manufacturing of home and kitchen appliance products. Following information is available in…

XYZ Ltd. is a manufacturing company engaged in the manufacturing of home and kitchen appliance products. Following information is available in respect of XYZ Ltd. for the year ended on 31st March, 2025: (i) During the year 2024-2025, XYZ Ltd. purchased a special type of packing material from an USA based company for $ 14,00,000 on 1st December, 2024 when the exchange rate was $ 1= ₹ 75. The American company provided XYZ Ltd. with 5-month interest-free credit. At the reporting date i.e. 31st March, 2025, the exchange rate was $ 1 = ₹ 77.5. As at 31st March, 2025, 60% of the raw material purchased was still in inventory of XYZ Ltd. The functional currency of XYZ Ltd. is Indian Rupee. (ii) In order to motivate and retain employees, XYZ Ltd. announced on 1st April, 2022, a scheme of granting 6 stock appreciation rights (SAR) to 400 employees who remain in the organization for the next 3 years. Other information available on the portal relating to this scheme is as under: Year ended Fair value of SAR (₹ ) Employees expected to remain in the organization as at year end 31.03.2023 100 400 31.03.2024 110 390 31.03.2025 116 380 (iii) The borrowings of XYZ Ltd. include 10% Optionally Convertible Debentures (OCD) issued on 1st October, 2024 for 50 lakhs. These debentures are convertible into equity shares of XYZ Ltd. at the option of the holder at the end of the tenure of 5 years in the ratio of 1:1 i.e., each OCD will be converted to one equity share. Interest is paid annually on 31st March. The market rate for these debentures without a conversion option is 14% per annum. (iv) The share capital of XYZ Ltd. includes 10,00,000 12% cumulative preference shares of 100 each. The Company has arrears of 2.40 crores of preference dividend as on 31st March, 2025; it includes current year arrear of 1.20 crores. The Company did not declare any dividend for equity shareholders as well as for preference shareholders for the year ended on 31st March 2025. On the basis of the information provided above, you are required to choose the most appropriate answer to the below mentioned questions 4 to 7 in line with the relevant Ind AS.