alleryStart learning →A revalued asset's market value basis and negligible disposal costs mean the asset is:
ACertainly impaired
BUnlikely to be impaired
CAlways to be written down
DExcluded from revaluation
Answer & Solution
Correct answer: B. Unlikely to be impaired
With negligible disposal costs, recoverable amount is close to or above the revalued amount, so impairment is unlikely and no estimate is needed.
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: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:A specific external event is one that is: