TANGIBLE ASSETS

Which of the following statements is correct regarding investment properties? (1) Transfers to or from investment property should only be made when there is a change in their use. (2) Transfers from an investment property to an IAS 16 property must be made at the fair value of the investment property at the date of the transfer. (3) An entity should treat any difference at the transfer date from a capitalised property (treated under IAS 16) to an investment property as an expense to the profit or loss. ?? )Statement 1 only ?? )Both statements 1 and 2 ?? )Both statements 2 and 3 ??) Both statements 1 and 3 how is the answer 2 option i.e. 1&2 i undertood why 1 is the answer but how is 2 the right answer since it was written in kaplan that transfer from investment property to PPE(IAS16) can be made at cost as well so howcome the 2nd option is right? THE TEXT GIVEN IN KAPLAN If an asset is transferred from investment property to property, plant and equipment and the fair value model for investment property is used: ? Revalue the property first per IAS 40 (taking the gain or loss to the statement of profit or loss) and then transfer to property, plant and equipment at fair value . If the cost model is used for investment properties: ? The asset is transferred into property, plant and equipment at the current carrying amount and continues to be depreciated.