1. Assume that there are three separate real estate companies: U.S. Realty (which applies the cost model), U.K. Realty (which applies the revaluation model), and International Realty (which applies the fair value model). Assume also that on December 31, 2003, each company pays 1,000 cash to obtain investment property comprising land with negligible value and an office building worth 1,000. The building has a 10-year useful life, has no residual value, and is expected to provide a constant stream of economic benefits over time.

What is the accounting entry for each company for the following four scenarios:

1. on December 31, 2003, at acquisition?
2. on December 31, 2004, assuming the investment property fair value is 1,300?
3. on December 31, 2005, assuming the investment property fair value is 1,100?
4. on December 31, 2006, assuming the investment property fair value is 500?