alleryStart learning →A prior impairment loss is reversed when there is a change in:
AThe depreciation method used for tax
BEstimates used to find recoverable amount
CThe shareholding of the enterprise
DThe financial year of the enterprise
Answer & Solution
Correct answer: B. Estimates used to find recoverable amount
A reversal requires a change in the estimates of cash inflows, outflows or discount rates since the last loss, which shows higher service potential.
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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: