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Blossom Corporation owns and manages a small 1 0 - store shopping centre, which it classifies as an investment property. Blossom has a May 3
Blossom Corporation owns and manages a small store shopping centre, which it classifies as an investment property. Blossom has a
May year end and initially recognized the property at its acquisition cost of $ million on June The acquisition cost
consisted of the purchase price of $ million, costs to survey and transfer the property of $ and legal fees to acquire the
property of $ Blossom determines that approximately of the shopping centre's value is attributable to the land, with the
remainder attributable to the building. The following fair values are determined: USE the previous photo
Blossom expects the shopping centre building to have a year useful life and a residual value of $ million. Blossom uses the
straightline method for depreciation.
How will the investment property be reported on each yearend statement of financial position? Please provide calculations to the photo question using the data data used above How will the investment property be reported on each yearend statement of financial position?
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Note that the fair value of the investment property must be disclosed in the financial statements, even if the cost model is
used.
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