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- Under IFRS, disclosure for an investment property must include which of the following? Question 11 options: a) For investment properties measured using the fair value model: additions during the period, net gains or losses, and transfers to and from inventories. b) For investment properties measured using the fair value model: whether fair values used were based on valuations by an independent valuator, useful lives of properties, and transfers to and from inventories. c) For investment properties measured using the cost model: the depreciation method used, the useful lives of the properties, depreciation, and net gains or losses from fair value adjustments. d) For investment properties measured using the fair value model: amounts recognized in profit or loss for rental income and direct operating expenses, useful lives of investment properties.Which of the following statements correctly describes accounting for investment properties? Question 5 options: a) ASPE contains specific guidance for accounting for investment properties, whereas IFRS does not. b) It is possible for only a portion of a property to be considered an investment property. c) A building that is solely occupied by the owner is an investment property. d) The cost of an investment property includes the day-to-day costs of operating the property.(a) Provide a definition of the deprival value of an asset. (b) For a particular asset, suppose the three bases of valuation relevant to the calculation of its deprival value are (in thousands of pounds): £12, £10 and £8. Construct a matrix of columns and rows showing all the possible alternative situ- ations and, in each case, indicate the appropriate deprival value. (c) Justify the use of deprival value as a method of asset valuation, using the matrix in (b) above to illustrate your answer. ACCA Level 2, The Regulatory Framework of Accounting, December 1988
- . The fifth step in the appraisal process, reconciliation is: Select one: a. the addition to the market and residual approaches b. dependent upon the nature of the property and objective of the appraisal. c. simply the median of the three approaches to value d. simply the average of the three approaches to valueRefer to the definition of assets on page 204. Discuss howa leased building might qualify as an asset of the lessee(tenant) under this definition.The right-of-use asset may be measured using the following models except for: Group of answer choices All are allowed measurement models. Cost model, and the right-of-use asset is held for rentals Fair value model, and the right-of-use asset is used as an office building Revaluation model, and the right-of-use asset is used a factory warehouse
- Which best defines Market Value? Group of answer choices: Whatever the market will bear. Most probable selling price, assuming “normal” sale conditions What an investor is willing to pay for a property. The appraised value.Calculate the assessed value (in $) and the property tax due (in $) on the property. (Round your answers to the nearest cent.) Fair MarketValue AssessmentRate AssessedValue PropertyTax Rate PropertyTax Due $342,900 72 $ 5.1% $Which valuation method is dependent on a calculation of terminal value? a) DCF b) Comparable Property c) Capitalization Rate d) Replacement Cost Please ensure accuracy and explain your choice
- In the summation (cost) method of valuation, which of the following steps is the ONLY one that a valuer would take in estimating value? a. Estimate the net operating income of the property. b. Determine the value of the land using the Assessed Annual Value and tax rate. c. Estimate the accrued depreciation. d. Calculate the acquisition price of the construction material used when the structure was built.What are some of the physical considerations that a developer should be concerned with when purchasing land? How should such considerations be taken into account when determining the price that should be paid?According to U.S. tax regulations, what are the five methods to determine the arm’s-length price in a sale of the tangible property? How does the best-method rule affect the selection of a transfer pricing method?
