What are the two conditions that must be met in order for the cost of an item of property, plant and equipment, or an investment property, to be recognized as an asset? It is probable that future economic benefits associated with the item will flow to the entity and the cost of the item cannot be measured reliably. It is improbable that future economic benefits associated with the item will flow to the entity and the cost of the item cannot be measured reliably. It is probable that future economic benefits associated with the item will flow to the entity and the cost of the item can be measured reliably. It is improbable that future economic benefits associated with the item will flow to the entity and the cost of the item can be measured reliably.