You are required to write a business report which responds to specific prompts. It is important to note that you are

writing a business report as part of a thought leadership series. Your report is addressed to an organisation whose

members have a good understanding of Australian Accounting Standards, and who expect a professionally written

report supported by references to published journals, accounting standards, and$/$or the Conceptual Framework for

Financial Reporting, as applicable.

Context

As per usual practice, the Australian Securities and Investments Commission $($ASIC$)$ provided guidance on key areas

of focus in relation to general purpose financial statements late last year: $$ASIC urges directors, preparers of financial

reports and auditors to assess the impact of uncertain market and economic conditions when reporting for full and

half$-$years ending $31$ December $2023.$ Key findings in ASIC$$s first integrated financial reporting and audit surveillance

report $($Report $774$ Annual financial reporting and audit surveillance report $202223)$ forms the basis for identifying

areas for particular consideration. One key area identified in the report was asset values including asset impairment.

Emphasizing the importance of financial report, ASIC Commissioner Kate O$$Rourke said, $$Directors should ensure

that company financial reports provide investors with useful and meaningful information on the impact of changing

and uncertain economic and market conditions and other developments on their company$$s financial position and

future performance.$1$

Specific Requirements

Assume CPA Australia has requested that you contribute to their thought leadership series on the prescribed

treatment of impairment of non$-$financial assets during uncertain market conditions, with reference to AASB $136$

$$Impairment of Assets$.$ You have been asked to write a business report discussing the challenges faced by financial

accountants in:

$$ identifying possible impairment loss indicators for non$-$financial assets,

$$ calculation of impairment loss for a non$-$financial asset and its disclosure.

$$ You must refer to AASB $136,$ and real$-$life examples from ASX$-$listed companies annual reports

$($financial year ending $2023)$ to write your report.