QUESTION 3 a) Outline four characteristics of preference shares. b) Distinguish between carrying amount and depreciation in accordance with IAS 16 (4 marks) c) State the two recognition criteria of investment property (IAS 40) (2 marks) (Total: 10 marks) QUESTION 4 a) On January 12018 , Nana Limited acquired a building at a cost of GHe100,000. The building is expected to have a 25-year life and no residual value. The asset is accounted for under the revaluation model and revaluations are carried out every three years. On December 31, 2020, the fair value of the building is appraised at GHe90,000. Required: Show your entries in the financial statement for 2020. (5 marks) b) Mercy Ltd financed a qualifying asset costing GHe 20m from three existing facilities of GHe 10 million 6% loan, GHec million 8% loan and GHe 12 million 10% loan Required: i. calculated the weighted average cost of borrowing? ii. Compute the borrowing cost to capitalise