i) The investment in the equity shares of Obojo Ltd is classified as a financial asset at fair value through other comprehensive income (FVOCI), as Bawaleshie Ltd made an election to do so at the date of purchase. At 31 January 2017, the shares should be revalued to their fair value of GH¢2.8 million, resulting in a fair value gain of GH¢200,000 (GH¢2.8 million – GH¢2.6 million). This gain will be recognised in other comprehensive income and reported in equity under reserves.
Journal Entry:
Dr Financial Assets GH¢200,000
Cr Other Comprehensive Income GH¢200,000
(Fair value gain on investment in shares of another entity)
(2 marks)

ii) The bond investment is measured at amortised cost because Bawaleshie Ltd intends to hold the bond to collect the contractual cash flows (interest and principal payments). The interest for the year (8% of GH¢10 million = GH¢800,000) should be accrued, even though it is not payable until 1 February 2017. The fair value of the bond at 31 January 2017 is irrelevant for measurement purposes under the amortised cost model.
Journal Entry:
Dr Interest Receivable GH¢800,000
Cr Profit or Loss GH¢800,000
(Interest accrued to Bawaleshie Ltd on bond investment)
(3 marks)