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One of the well-known soccer clubs in Australia, Sydney, has made a decision to include its players on the club's statement of financial position as assets. These players are signed to the club every 3 years and are paid large amounts of money by the club each year under various contracts. The club also insists on a substantial transfer fee being paid if a player wishes to go to another club while under contract.
Required:
Discuss whether the Sydney club is justified in its action of treating players as assets with reference to relevant paragraphs of AASB Framework
What risks are associated with direct foreign investment? How do these risks differ from those encountered in domestic investment?
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