Forum Replies Created
- Posts
Regarding the impairment calculation, as per IAS 36, Cash flow projections should relate to the asset in its current condition – future restructurings to which the entity is not committed and expenditures to improve or enhance the asset’s performance should not be anticipated. So, the value in use in the question was based on these contingent considerations. Therefore, the real impairment -in my opinion-was bigger, due to the real value in use which was lower than the value given in the question.
Hello is someone who remembered the ROMM from Q1a)? have you found the below risks?
1.assets destroyed-separate presentation and disclosure
2.bank loan and interest expenses-recognition and disclosure
3.development expenses- recognition and disclosures
4.advertising expense- recognition in P&L
5.software -capitalised + depreciation
6.brand disclosures not in accordance with the Financial Position
7.impairment calculation
8.operating margin- understated costs
9.inventory valuation
10.Revenues -due to electronic sales system newly implemented