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In IAS-40 Fair Value model, we revalue asset and show as profit or loss in SOPL.
In IAS-16 Revaluation model, we revalue asset and show as revaluation gain or loss in Other comprehensive income.
Can you please tell why? Book only states but don’t tells why.
It is again due to the usage of the asset. If we have a gain on an investment in equity/debt then the gain goes through profit or loss, hence the same treatment is adopted if we have property that is held for investment purposes.