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IFRS 13

Elements of fair value measurement

Listed investments

• On 31 December 20.13 Serviplex's listed investments consisting of equity

investments had a total net market value of R5 247 000 after brokerage fees of
1% was deducted. These investments are traded in an active market. The fair

value of these investments was R5 020 000 at 31 December 20.12. These

investments were classified as measured at fair value through profit or loss.

Unlisted investments

• Serviplex obtained a 10% interest in Anfield Ltd on 3 February 20.12 for R3 042
000. The fair value and carrying amount of the investment were R3 100 000 at

31 December 20.12. On 31 December 20.13 the accountant of Serviplex

calculated the fair value of the investment in Anfield Ltd by using a significantly

adjusted after tax earnings yield of 18% and sustainable before tax earnings of
R802 000 as input variables in the measurement calculations. The tax rate is

28%. This investment was classified as measured at fair value through other

comprehensive income.

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