alleryStart learning →Reversal of an impairment loss is considered when:
AThe asset has been fully depreciated
BSigns show the earlier loss has eased
CThe enterprise changes its auditor
DThe asset is moved to another site
Answer & Solution
Correct answer: B. Signs show the earlier loss has eased
At each balance sheet date the enterprise looks for signs that a loss recognised in earlier periods may no longer exist or may have decreased.
Keep practising AS 28 Impairment of Assets
Browse all AS 28 Impairment of Assets questions for CA Inter, or explore more Accounting topics.
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: