Impairment loss is recognised when,
A)Carrying amount of an asset is less than its recoverable amount
B)Carrying amount of an asset is less than its original acquisition cost
C)Carrying amount of an asset exceeds its recoverable amount
D)Fair value of an asset is less than the undiscounted expected future cash inflows

Question

Quizplus · Accepted Answer

Impairment loss is recognized when the carrying amount of an asset exceeds its recoverable amount, meaning the asset is recorded on the balance sheet at a value higher than what can be recovered through use or sale.

Impairment Loss Is Recognised When