CERTYNEX IFRS ACADEMY

After an asset is classified as held for sale, its fair value less costs to sell increases. Within what limit is a gain recognised?

For the whole increase, even beyond the cumulative loss already recognised on the asset.

Within the unrealised gain compared with the asset's original cost.

The gain is deferred until the actual disposal of the asset, when it will be recognised.

Within the cumulative loss recognised on the asset (under IFRS 5 or previously under IAS 36).