t+.

-ratr

<"2&- 77"* {**;^, *f*il 4 &"r*,*.A*,"* TA-334

TNVESTMENTS * Pa* 2 af 2

23. which of the following adotiona(i,rI|r-rbust be rnade when an entity chooses the cosf model as
P
its accounting policy f6r investmeh]frffi6?
%
?* Fair value of the property c. Present value of the property
@) Vulu. in use of the,propea'ty C. Net reafizable value of tt u property

24. Uncler the FAIR VALUE model ()f investffrent propeffiy, any unrealized gain or loss
a. Shall not he recognized
b. And depreciation shall be recognized irr ;:rroiit or loss
g* And depreciation shall be rer:ognized ir, other comprehensive income
(9]) Shall be recognized in profit'or loss wl:ile liepreciation is ng!-Igcqdgd
25. In case of property held under an opelating lease and classified as ihvestment propertyl
r
lr.,

3: TII:fflll H:.':Hf;,I..ffi#lf#l unu .un use the cost moder

c-.. The entity has the choice l:etween the cost model and the fair value model
@ The entity has to account for the invesfrfient property under the cost model only
(1 26. What is the best evidelice of fair vaiure of arr investment property?
I l-r,r:r -) [ a: Quoted price in active market for a similar asset
L- \ t'u L t'6. Quoted price in inactive rnail({:l- for a sirniiar asset
L tr'.&1 1 c. Quoted price i,r gg!l{.e rnarket for an deeilsal asset
,.
r- i i : Z d. Quoted price in iilactive market for art identical as;set
\, 27. Traggfer from investment property (IP) to property, plant,and equipment (FPE) is appropriate
.-
t (u) When there is a change in use
b. Based on the entity's discretion
c. Only when the entity adopts the cost ;noCel
d. Only when the entity adr:pts the ferir value model
I
I \ 28. When the entity uses the grSt rnoCeJr-ttonsfer between IP and owner-occupiec! property (OOf) shall be
U accounted for at
a. Cost (.J Carrying amount
b. Fair value Y P.evaiued amount
r) 29. A transfer from IP carried at fair vaiue to OCP shall be accounted fclr at
a. Historical cost
b. Carrying amount
G Present value of expected iasir flows
d. Fair value, which beconres the deenied cost for subsequent accountin_q
30. If OOP is transferretl to IF to be carrierl at t'air valu*::, what is tlre treatmerrt of the difference between
r\ the carrying amount of the propefi and its teir vaiue?
a. Revaluation of PPE
q* A change in estirnate
6j e change in accounting policy
d. Unrealized gain in profit or loss
SELECTEP NSrEg^ortt'!-LS 9 -l:inan-cie1 rushwEs+ts, wirh empbeqtpp_e su rn$rrurylew
o INITIALMEASI]REMTJNT:
All Jinancial instrurkents are iniliailv measurrt,! at ./ait v:tlut 1:lus or mitms, irt lhe case oJ' a .finanr:iul as^sct or
Jinancial liability not ct fair value thrr;uS;h yn"cfit r:;^ I*.rs, tt'ansar:tiott tostli.
o SUBSEQITENI'MEAS1IItEMEI'l'l:
Pb'Rfi 9 divides all .financiol ass$t thctt nre au"rentlv in the scoltr, of llAS J9 into iwo classificatiotts - tiro.s,t:
mea,sured at amortized cost and tito:,e measured ai Jair value. (liasslficati<)n is mucle ai the time the ./inuncial assal is
initiallyrecognized {i.e., when the i:ntity be:comes ilpart}, I't the contractuul pr{Ni,\ions a/'the'instr.urnent.)
o DIII)'I'INSTRUMENI:
A debt instrumenl that nrcets tlte t:*t'o conditi;tns -- &tr,rine.r',e motlel test ond contractu*l ca.;h.llov, test intlicutetl on
page 3 oJ'7,4-333 -- shqll be nieasured at omonizecl ceit or jiVTY){:I, xthject to itnpcirwrctrt. llo*ever, even jl'a deht
in,;trument meels the,se lwo lests, the l;tte,vi w:r'.\io/, ql I'i;P*\ 9 aliows lhe rtption to tlesignate the dcht instruntert! rx.
financial asset at/itit value thru profit or iust. onl;, il doin;q so significunrly reduces tle rccognition inconsistcncy or
'accountirtg rnismatr:h' thal wouli othent'isr: wise y'rom measuring d.cser,r or liabililies and recognizing lhc: gains and
lo-rses on lhem an dffirent brxes.
. 'I'he "available-for-sale" Lutd "held-io^miturity" crr[,j,"'.ories urtdcr PAS 39 are no loirger mentioned undcr PITIIS 9.
o Illease refer to pagc 3 ol''I'A -" 313 tirr atldiiir'rlal rroieir orr thr: Ia{cst version of PIrI{S 9.