alleryStart learning →If an active market exists for the output of a group of assets, that group is:
AMerged with the enterprise's largest unit
BTreated as a corporate asset of group
CIdentified as its own separate unit
DExcluded from the impairment test
Answer & Solution
Correct answer: C. Identified as its own separate unit
Even if the output is used internally, an active market means the group can earn largely independent inflows, so it forms its own unit.
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Related questions
An enterprise applying AS 17 discloses impairment losses by:A revalued asset's market value basis and negligible disposal costs mean the asset is:For a small and medium-sized company, value in use may be measured by:Impairment of deferred tax assets is dealt with under:Disclosing key assumptions is:If recoverable amount is value in use, a material loss disclosure includes:A class of assets under AS 28 means a grouping of assets of:AS 28 disclosures of impairment losses are required for each: