Which of the following is not an impairment indicator for property, plant and equipment?
A) a significant decrease in the purchase price of an asset or asset group scheduled to be acquired in the current period
B) a significant adverse change in legal factors that could affect the value of the asset or asset group
C) a current-period cash flow loss combined with a forecast of continuing losses associated with the use of an asset or asset group
D) a significant decrease in the market price of an asset or asset group

Question

Quizplus · Accepted Answer

A significant decrease in the purchase price of an asset scheduled to be acquired is not an impairment indicator for existing property, plant, and equipment, as it pertains to future acquisitions rather than current assets.

Which of the Following Is Not an Impairment Indicator for Property