Tibet acquired a new officce building on 1 October 20×4 . The initial carrying amount of the Air conditioning was $4 million with an estimated live of 10 years.
When the Air conditioning system is due for replacement, it is estimated that the old system will be dismantled and sold for $500,000. Depreciation is time apportioned where appropriate.
At what amount will the Air conditioning be shown in Tibet’s statement of financial position as at 31 March 20×5?