IVG Immobilien AG (2007)
3. Changes to accounting [extract]
Valuation of investment properties in accordance with fair value method
Pursuant to IAS 40 (Investment Property) property held as a financial investment is valued upon acquisition at cost. Until 31 December 2006, the IVG Group carried out subsequent valuations of its investment properties in accordance with the cost model, by which investment properties were valued at cost less scheduled or extraordinary depreciation.
As the fair value method has now been established on capital markets as best practice for the subsequent valuation of investment properties, IVG switched to the fair value method on 1 January 2007. Pursuant to this method, the IVG Group will value its investment properties with their fair value at balance sheet date and changes in the market value of properties will be recognised in the income statement. The IVG Group believes that using the fair value method will improve presentation of assets in the balance sheet, as it reveals hidden reserves or charges. It provides greater transparency in the financial statements, raises comparability with competitors and is in line with best practice recommendations of the European Public Real Estate Association (EPRA).
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
