Investment Property and Intangible Assets Quiz

Investment property is property (land or a building-or part of a building-or both) held to earn __________ or for capital appreciation or both.

• Interest

• Rent

• Dividends

• Sales Revenue

Investment property should be initially measured at __________.

• Historical cost

• Net realizable value

• Cost, including transaction costs

• Revalued amount

After initial recognition, an entity can choose either the __________ model or the cost model for measuring investment property.

• Revaluation

• Fair value

• Accrual

• Historical cost

Under the fair value model, changes in fair value are recognized in the __________.

• Statement of Financial Position

• Statement of Changes in Equity

• Profit or Loss

• Other Comprehensive Income

An investment property under construction may be measured at __________ if its fair value is not reliably measurable.

• Fair value

• Replacement cost

• Cost until fair value becomes reliably measurable

• Net realizable value

Transfer to or from investment property shall be made only when there is a __________ in use.

• Construction activity

• Depreciation event

• Change in intention or actual use

• Revaluation decision

Investment property does not include property held for use in the __________.

• Earning of rent

• Production or supply of goods or services

• Capital appreciation

• Earning rental income

If an entity uses the cost model, the investment property is carried at cost less __________.

• Fair value changes

• Depreciation and impairment losses

• Market adjustments

• Revaluation reserves

Owner-occupied property is accounted for under __________ and not IAS 40.

• IFRS 13

• IAS 16

• IAS 38

• IFRS 9

Investment property leased to others under an operating lease is still classified as __________ by the lessor.

• Owner-occupied property

• Non-current asset

• Investment property

• Inventories