CERTYNEX IFRS ACADEMY

For its reconciliation of carrying amounts under the fair value model, Tolvane notes: opening 10,000,000; acquisitions 2,000,000; disposals (at carrying amount) 1,500,000; net fair value gain 800,000; transfers from owner-occupied property 400,000 (case data). What closing carrying amount does the reconciliation show?

11,300,000, leaving transfers out of the reconciliation.

11,700,000, opening + acquisitions − disposals + fair value change + transfers.

13,200,000, not deducting the disposals.

12,500,000, counting the fair value gain twice.