Practice Question 12 The core difference between the rational entity impairment model (IFRS) and the cost recovery impairment model (ASPE) is that O the IFRS approach waits until circumstances indicate that conditions are very bad before recognizing an impairment. O the IFRS approach captures only declines in value, with no later recognition of any recovery. Othere are many differences; all of the above are true of the IFRS approach as compared to ASPE. the IFRS approach better reflects the economic circumstances underlying the asset's usefulness to the entity