IGNORE VAT AND TAXATION A Limited purchased a property at a cost of R4 500 000 and paid cash on 1 April 2019. At the date of purchase the directors estimated that R1 500 000 of the cost was auributable to the land and R3 000 000 of the cost was attributable to the building. The building is depreciated on the straight-line basis over a period of twenty year with a residual value of R750 000. At 31 March 2020, there were indications that the value of the building is impaired and the recoverable amount is estimated at R2 250 000. The useful life and residual value remained unchanged. The property was used as offices for A Limited from 1 April 2019 until 31 March 2021. At 31 March 2021, A Limited moved its offices to rented premises and in turn, rented this property to B Limited for a period of three years. A Limited intends to keep the building for rental and capital appreciation purposes. A Limited uses the cost model to measure property, plant and equipment and the fair value model to measure investment property. The fair value of the building is estimated at R4 500 000 on 31 March 2021 and at R5 250 000 on 31 March 2022. Land is not depreciated. The fair value of the land was estimated at R1 500 000 on both 31 March 2021 and on 31 March 2022.