Question Two IAS 37 'Provisions, contingent assets and contingent liabilities' explains when a provision for a particular transaction should be recognised in the financial statements and the amount at which it should be recognised among others. Required Define a provision and state the criteria that should be met for a provision to be recognised in the financial statements. (12 marks) IAS 36 'Impairment of assets" describes the allocation of impairment loss of a cash generating unit among other matters relating to impairment of assets. Required Define a cash generating unit and describe how impairment loss of a cash generating unit should be allocated (8 marks) Total (20 Marks)