- 5 Marks
FR – April 2022 – L2 – Q5b – Financial Reporting Standards and Their Applications
Outlines mandatory testing requirements for impairment of certain assets under IAS 36.
Question
In accordance with IAS 36: Impairment of Assets, an entity shall assess at the end of each reporting period whether there is any indication that an asset may be impaired. If any such indications exist, the entity shall estimate the recoverable amount of the asset. However, some assets would require mandatory testing for impairment.
Required:
Outline assets that require mandatory testing for impairment in accordance with IAS 36: Impairment of Assets. (5 marks)
Find Related Questions by Tags, levels, etc.
- Tags: Goodwill, IAS 36, Impairment testing, Intangible Assets, Mandatory Testing
- Level: Level 2
- Topic: Impairment of Assets
- Series: APR 2022
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