CERTYNEX IFRS ACADEMY

A management accountant comments on the gain or loss on disposal of an investment property. Which of the statements is incorrect?

"The gain or loss on disposal is the difference between net disposal proceeds and the carrying amount."

"The gain or loss on disposal is recognised in profit or loss."

"Selling costs are ignored: the result is the sale price less the carrying amount."

"Net disposal proceeds are understood after deducting selling costs."