I had a quick question, if an investment property is measure at cost model - is it still measure at historical cost - accumulated depreciation? sorry if I missed something And additionally you noted that, regarding transferring the item, if the item was initially measured at hist cost and now transferred -> the impact(change in carry amt) is on the OCI. What if initially, pre-transfer, it was accounted using the re-valuation model, will the impact(change in carry amt) still be on the OCI?
Would you say the questions on the cfa level 1 exam are simialr in difficulty and layout to the end-of-chapter questions or practice problems on the cfa website?
Yes, this has always been my experience. In fact, one thing you will probably notice in the actual exam is that you need to use your calculator less than when tackling practice questions. More of the problems are theoretical. In addition to the problems mentioned please also attempt to solve the problems which are part of the readings. They are typically shown in a box (blue in the paper version of the Curriculum).👍
@@letmeexplaincfa When a firm transfers a building to investment property and value declines, will it go to income statement as a loss since it is treated as a reevaluation?
In a separate question, you asked about the revaluation model for PPE versus the treatment of Investment Property. Be careful, the model we can choose for Investment Property is called the Fair Value model and it involves no depreciation. The model we can use with regard to PPE is the revaluation model and that one still involves depreciation. Even though they sound similar, it is important not to confuse the two
