On 1 April 20X3, LJB sold a freehold property to a finance house for $7 million. The contractual terms require LJB to repurchase the property on 31 March 20X6 for $8.8 million. LJB has the option to repurchase on31 March 20X4 for $7.6 million or on 31 March 20X5 for $8.2 million. Prior to disposal, the carrying amount of the property was $6 million. At 31 March 20X4, LJB decided not to take up the option to repurchase. Which of the following statements are TRUE in respect of LJB'Sfinancial statements for the year ended 31 March 20X4?
A.
As the option to repurchase has not been exercised, LJB should derecognise the property and record a profit on disposal of $1 million in the statement of profit or loss
B.
LJB would recognise the property as part of its non-current assets at 31 March 20X4
C.
LJB would recognise a liability of $7 million in its statement of financial position at 31 March 20X4
D.
Finance costs of $0. 6 million will be recorded in the LJB statement of profit or loss during the year ended 31 March 20x4.