AC2101 S1 2014 Seminar 5 Leases (Anil).pptx

Besides interest income there is gross prot on sales

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Unformatted text preview: an be an IP if Ø།  meets definition of IP Ø།  lessee uses the FV model (FRS 40:6,26,34) *  In this instance, FRS 40 overrides FRS 17 by requiring that the lease be accounted for AS IF it was a finance lease (FRS 40 para. IN18) 13 Ong Ltd has leased a property from Yeo Ltd under an operating lease. Ong Ltd would like to classify this piece of property in its accounts as an investment property. The accountant of Ong Ltd has prepared a document for the senior management of Ong Ltd where the following four statements relating to this matter was laid out. (I) Both FRS 17 Leases and FRS 40 Investment Property should be strictly adhered to as this matter involves both leases and investment property. (II) This leased p...
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This document was uploaded on 02/10/2014.

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