Question
If an asset has a carrying amount of AED 5,000,000, fair value of 5,000,000 but a value-in-use of 4,000,000. How can this information be interpreted?
If an asset has a carrying amount of AED 5,000,000, fair value of 5,000,000 but a value-in-use of 4,000,000. How can this information be interpreted?
| A. | The recoverable amount is 9,000,000 (5,000,000 + 4,000,000) | |
| B. | There is no impairment | |
| C. | There is impairment of 1,000,000 | |
| D. | The asset has zero value (5,000,000 5,000,000) |
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Cornerstones of Cost Management
Authors: Don R. Hansen, Maryanne M. Mowen
2nd edition
1111824401, 978-1111824402
