QUESTION $2$

Alansar Bhd is involved in real estate activities by buying lands and constructing housing properties. The company main office is located in Kepala Batas, Penang. The company was established in year $2015.$ In February $2019,$ the company bought a piece of land in Alor Setar for RM$2,300,000.$ The company keeps the land for capital appreciation. The fair value of the land at $31$ December $2021$ was RM$3,000,000.$ On $31$ July $2022,$ the company used the land for business operation. On that date, the fair value of the land was RM$2,800,000.$

The company also has a $2-$storey office building in Kepala Batas and it is used for administration purposes. The building was purchased at RM$30,000,000$ on $30$ June $2019.$ It is estimated that the building will provide benefits to the company over its useful life of $50$ years. No residual value of the building is expected at the end of its useful life. The company policy is to use straight line method to determine depreciation of building. On $31$ December $2021,$ the recoverable amount of the building was RM$28,000,000.$ On $30$ April $2022,$ the company ended the occupancy and rented out the building. At that date, the fair value of the building was RM$29,000,000.$

In addition, the company has a $5-$storey building located in the city center of Kuala Lumpur that is used as its branch office. It was purchased in January $2020.$ The cost of the building was RM$50,000,000.$ It is estimated that the building will provide benefits to the company over its useful life of $50$ years. The management of the company rented out a significant portion of the building. Only $5\%$ of the building was used for ancillary services which was considered insignificant. Based on the professional appraiser$$s valuation, the market value of the building on $31$ December $2021$ and $31$ December $2022$ were RM$48,000,000$ and RM$52,000,000$ respectively.

Additional information:

$1.$ The company uses cost model for property, plant and equipment $($PPE$)$ and fair value model for its investment property.

$1.$ Financial year end for the company is $31$ December each year.

REQUIRED:

$($Show all workings and round all numbers to the nearest RM$)$

$1)$ Prepare related journal entries for the land in Alor Setar for the years $2021$ and $2022.$

$2)$ Prepare related journal entries for the $2-$storey office building in Kepala Batas for the years $2021$ and $2022.$

$3)$ Prepare related journal entries for the $5-$storey building in Kuala Lumpur for the years $2021$