Chapter 11 - Investment property: IAS 40. The main contents of the chapter consist of mains parts: Related standards, IAS 40, current GAAP comparisons, IFRS financial statement examples, looking ahead, end-of-chapter practice. | Investment Property: IAS 40 Wiecek and Young IFRS Primer Chapter 11 Investment Property Related standards IAS 40 Current GAAP comparisons IFRS financial statement examples Looking ahead End-of-chapter practice Related Standards FAS 153 Exchanges of nonmonetary assets APB 29 Accounting for nonmonetary transactions FAS 144 Accounting for the impairment on disposal of long-lived assets Related Standards IAS 2 Inventories IAS 16 Property, plant and equipment IAS 17 Leases IAS 23 Borrowing costs IAS 36 Impairment of assets IFRS 5 Non-current assets held for sale and discontinued operations IAS 40 - Overview Objective and scope Recognition Measurement at recognition Measurement after recognition Transfers Derecognition Disclosures IAS 40 – Objective and Scope IAS 40 identifies what an investment property is, how it differs from property, plant and equipment (owner-occupied property); and what recognition, measurement and disclosure standards apply to investment properties IAS 40 – Objective and Scope Investment property is defined as: property held to earn rentals or for capital appreciation or both, rather than for (a) use in the production or supply of goods or services or for administrative purposes; or (b) sale in the ordinary course of business IAS 40 - Recognition Investment property is recognized as an asset when: it is probable that its future economic benefits will flow to the entity, and its cost can be measured reliably IAS 40 – Measurement at Recognition Investment property is recognized initially at cost – applying the cost model of IAS 16 Property, Plant and Equipment – including what is capitalized in cost and the principles for non-monetary transactions Leased investment property is measured according to IAS 17 Leases IAS 40 – Measurement after Recognition After initial recognition, an entity has a choice of methods to account for investment property: Fair value model (FVM), or Cost model (CM) Must apply one model to . | Investment Property: IAS 40 Wiecek and Young IFRS Primer Chapter 11 Investment Property Related standards IAS 40 Current GAAP comparisons IFRS financial statement examples Looking ahead End-of-chapter practice Related Standards FAS 153 Exchanges of nonmonetary assets APB 29 Accounting for nonmonetary transactions FAS 144 Accounting for the impairment on disposal of long-lived assets Related Standards IAS 2 Inventories IAS 16 Property, plant and equipment IAS 17 Leases IAS 23 Borrowing costs IAS 36 Impairment of assets IFRS 5 Non-current assets held for sale and discontinued operations IAS 40 - Overview Objective and scope Recognition Measurement at recognition Measurement after recognition Transfers Derecognition Disclosures IAS 40 – Objective and Scope IAS 40 identifies what an investment property is, how it differs from property, plant and equipment (owner-occupied property); and what recognition, measurement and disclosure standards apply to investment .
