Students who practice questions generally learn more effectively than those who don’t. If you’re studying IAS 36 Impairment, why not test your knowledge with our multiple choice quiz?
Non-current assets are usually measured in the financial statements at cost or a revalued amount, which is depreciated over the asset’s useful economic life.
What Constitutes Impairment?
The basic requirement for IAS 36 – Impairment of Assets, is that assets must be assessed to whether there’s an indication they may be impaired.
- Disclosures regarding each material impairment recognised or reversed
- Disclosures regarding aggregate impairment losses and the aggregate reversals of impairment losses
- Unallocated goodwill
The requirements for recognising and measuring an impairment loss are as follows: