alleryStart learning →Goodwill impairment booked in an interim period is later:
AReversed if conditions improve
BNever reversed in a later period
CReversed by half if audited
DReversed after board approval
Answer & Solution
Correct answer: B. Never reversed in a later period
The goodwill impairment prohibition of Ind AS 36 prevails, so an interim impairment loss on goodwill stays even if a smaller loss would arise later.
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Related questions
A reporter more frequent than half-yearly measures income and expenses on what basis?Versus IAS 34, Ind AS 34 allows profit and loss in:Ind AS 34 Appendix A on interim reporting and impairment matches which interpretation?Ind AS 36 states that an impairment loss recognised for goodwill:The ban on reversing interim goodwill impairment is extended by analogy to other areas:Why must a policy change cover the whole financial year?A change in accounting policy at an interim date is reflected by:Compared with annual reports, interim reports generally require: