Cash generating unit — OpenTuition Forums

PPraneetha5y ago

Hi sir, are current assets part of a cash-generating unit? and if they are, do they come under specific assets or remaining assets? Thank you

P2-D2Tutor5y ago#1

Hi, Yes they would form part of the value of the cash generating unit as they are part of the total assets that we are looking at for impairment. They could come under either category, so you need to read the question carefully. It could very well be that we are already given information about either inventory or receivables that gives their new value, if not then they would fall under the reining assets. Thanks

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