Held for sale (IFRS5) — OpenTuition Forums

SSimon9y ago

Hi, Is there a decent question to review on this topic and is there a good way to approach such a question? The limited questions I have seen appear to make this issue rather complex with depn, impairments and / or revaluations all taking place in the year. Is there a standard tabular approach to this type of question? Q25 MINCO JUN14 I completely follow the answer subject to a couple of typos e.g. ($4m - $1 - $0.1 m - $0.35) somehow equals $2.55m which I do get, however when an asset that is held for sale which is subsequently adjusted for impairments and revaluations a tabular approach would be nice, does one exist...? The final part that is confusing me are the accounting entries, as follows:- impairment $0.35m DR P&L $0.35m CR PPE $0.35m impairment $0.15m DR P&L $0.15m CR PPE $0.15m revaluation $0.12m CR P&L $0.12m DR PPE $0.12m revaluation $0.43m (limited to the amount already impaired) CR P&L $0.38m DR PPE $0.38m CR OCI $0.05m ?????? this is assumed as I cant find it in the answer ???????? Apologies for the long question, hopefully the answer is much shorter... Thanks.

P2-D2Tutor9y ago#1

Hi, Yes it complicated but have you watched the videos on impairments and revaluations? There is a standard format that it used in those. Thanks

SSimon9y ago#2

thanks, I have watched the videos and I have the course notes, I will watch again. What's your view on Minco, and the excess impairment, does the transfer (recycling) now take place as the asset value has changed to a value greater than that impaired or will the lecture answer that as well, great if it does... thanks for the reply..

P2-D2Tutor9y ago#3

You cannot increase its value to above that which it would have been had it not previously been impaired.

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