CERTYNEX IFRS ACADEMY

Quivane measures its investment property at fair value: 8,000,000 at the last reporting date for a property it begins to occupy entirely as offices on 1 September, which evidences a change in use (case data). Its fair value on 1 September is 8,300,000. What amount should be used as the deemed cost of the owner-occupied property?

8,000,000, the value at the last reporting date.

8,300,000, the fair value at the date of the change in use.

300,000, the difference between the two values.

8,150,000, the average of the two values.