How Impairment of Goodwill in the CS of P&L and other Comprehensive Income dealt

VVirgil12y ago

I notice in the past papers that sometimes Impairment of goodwill is sometimes added to Admistrative Expenses and at other times it is recorded as a line item by itself. Is there a one correct way to deal with it or its ok either way for I have never seen the examiner mentioning that it can be done in an alternative way

MikeLittleTutor12y ago#1

Unless the examiner states within the question that "any impairment of goodwill should be included within cost of sales" (or any other specifically identified line item) I would show the impairment as a separate line item within Statement of Income Ok?

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