Disposals (IAS 40) Flashcards
1
Q
What does derecognise mean?
A
Eliminate from SOFP
2
Q
When should an investment property be derecognised?
A
On disposal or when it is permanently withdrawn from use and no future economic benefits are expected from its disposal
3
Q
What is any gain or loss on disposal the difference between?
A
The net disposal proceeds and the carrying amount of the asset
4
Q
How should gain or loss on disposal be recognised?
A
As income or expense in profit or loss
5
Q
What happens with compensation from third parties for investment property that was impaired, lost or given up?
A
Shall be recognised in profit or loss when compensation becomes receivable
