IVG Immobilien AG (2005)
5.2 Investment properties [extract]
Investment properties are carried at depreciated cost in accordance with IAS 40.56 and not at market value. As industry standards with regard to choice of accounting policy for investment property are still evolving, IVG opted to apply the cost model in its consolidated financial statements from 2004. This has the advantage that it is possible to change to the fair value model should this be adopted as best practice by the capital markets. A switch in the other direction from the fair value model to the cost model is not permitted.
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