from Question practice

Question 1

Definition of IAS40 Investment property

Answer 1

Earn rentals under operating leases OR capital appreciation OR both

Question 2

Criteria : NCA Held for Sale

Answer 2

S eeking a buyer
A valiable for immediate sale under current circumstances
L ikely to be sold (highly probable)
E xpected to be sold in 1 year

Question 3

Remeasures of Investment property to FV of investment property

Answer 3

NO Depreciation
Gain/Loss through P/L

Question 4

When Intangible asset has indefinite useful life

Answer 4

Not amortised,
Review indefinite useful life assessment each period.
Annually impairment test

Question 5

Development cost capitalisation Criteria:

Answer 5

P robable future economic benefits
I ntention to complete and use / sell
R esources available to complete and use / sell
A bility to use / sell
T echinical feasibility of completing
E xpense can be measured reliably