ifrs 5

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October 21, 2018 at 7:53 pm #479401
adarsh1997
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Hello Chris,

For discontinued operations, ifrs 5 states that the post tax gain or loss recognized on the measurement to fair value less costs to sell, or on the disposal, of the assets constituting the discontinued operations.

1. Could you explain, when do we need to deduct the costs to sell? After calculating the gain or loss?

Thanks
October 21, 2018 at 9:35 pm #479407
P2-D2
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Hi,

It is because we are being prudent. We will incur the expense to we recognise it once the conditions are met to hold it as a discontinued operation.

Thanks

Chris
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