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Value in use

Forums › ACCA Forums › ACCA FR Financial Reporting Forums › Value in use

  • This topic has 3 replies, 2 voices, and was last updated 14 years ago by MikeLittle.
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  • November 3, 2010 at 6:02 am #45773
    Anonymous
    Inactive
    • Topics: 2
    • Replies: 3
    • ☆

    Can anybody help me for counting value in use? I am studying Impairment (IAS36) I cannot understand how to calculate it and what is the arm’s length transaction?

    November 4, 2010 at 11:57 am #70166
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    value in use is the present value of the cash flows to be generated by an asset or cgu, including the proceeds of the ultimate sale of that asset.

    Arm’s length transaction is a transaction value which would be appropriate between a willing buyer and a willing seller with no outside interference / no undue influence

    November 8, 2010 at 5:58 am #70167
    Anonymous
    Inactive
    • Topics: 2
    • Replies: 3
    • ☆

    thanks

    November 8, 2010 at 11:01 am #70168
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    welcome

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