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Provision on impairment loss on owned asset

Former userFormer user4y ago

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stephenwidbergstephenwidbergTutor4y ago#1
NEVER ( :) ) use the word provision in respect of an asset. It would be like calling the Queen of England Betty instead of Your Majesty. Why? A provision is a LIABILITY of uncertain timing or amount. So, always say the asset will be impaired or there will be an allowance for impairment.
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