All of the following statements regarding impairments are true except A)an impairment is a permanent decline in an asset's market value. B)after an impairment write-down, depreciation is generally lower in subsequent periods. C)immediate recognition of impairment write-downs is now required. D)impairments are generally recorded when the book value falls below the market value.

Question

Quizplus · Accepted Answer

Impairments are recorded when the book value of an asset exceeds its recoverable amount, not when it falls below the market value.

All of the Following Statements Regarding Impairments Are True except