The fair value model: measuring at the reporting date and recognising the change in profit or loss

Under this model the property is measured at fair value at each reporting date, with no depreciation, and the change goes to profit or loss; fair value follows IFRS 13 and has fine cases (leases, double counting, cost exception).

In this lesson

1. 2Understand
2. 3The IFRS rule
3. 4How to apply it
4. 5Numerical example
5. 6Journal entry
6. 7Key points
7. 8Exercises