An entity started construction on a building for its use on $1$st April $2017$ and incurred the

following costs:

$$000$

Purchase price of land $250000$

Stamp Duty $5000$

Legal Fees $10000$

Site preparation and clearance $18000$

Materials $100000$

Labour $($period $1$ April $2017$ to $1$ July

$2018)150000$

Architect's fees $20000$

General Overheads $30000$

$583000$

The following information is also relevant:

$1.$ Material costs were greater than anticipated. On investigation, it was found that materials

costing $$10$ million had been spoiled and therefore wasted and a further $$15$ million was incurred

on materials as a result of faulty designed work.

$2.$ As a result of these problems, work on the building ceased for a fortnight during October $2017$

and it is estimated that approximately $$9$ million of the labour costs relate to this period.

$3.$ The Building was completed on $1$ July $2018$ and occupied on $1$ September $2018.$ You are

required to calculate the cost of building that will be included in tangible non current asset

additions. You are also required to show the carrying amount of the building for the year ended

$31$ Dec $2018$ if the life of the building is estimated to be $15$ years under Cost model and under

Revaluation model of the Fair value of the building was estimated to be $650$ million as on that

date.