Investment Property

Which option meets the definition of Investment Property?

• Property held for sale in the ordinary course of business

• Property that is leased under a finance lease

• Property that is leased under an operating lease

• Property used for admin purposes

The following are examples of investment property:

• Land held for undetermined future use

• A vacant building that is leased under an operating lease

• Property that is currently being constructed for future use as investment property

• Property that is currently under construction for future sale in the ordinary course of business

• Land held for short term capital appreciation

A property may only be classified as investment property if ancillary services are

• Significant

• Insignificant

Investment property is initially measured at:

• cost

• fair value

• it depends

Subsequently we can capitalize day to day expenses:

• True

• False

Subsequent Measurement of Investment property can either be:

• On the cost model

• On the revaluation model

• On the fair value model

Investment Property can be depreciated on the cost model?

• True

• False

For investment property on the cost model, we still need to disclose the fair value

• True

• False

On the fair value model, any gains or losses from changes in fair value must be recognized through OCI

• True

• False

The fair values of investment property are determined using:

• IFRS 13

• IAS 40

• IAS 16

• IFRS 16