In 2012, TallyHo Farms acquired production machinery at a cost of £400,000. In 2015, when accumulated depreciation was £152,000, Bambung reported an impairment loss of £77,000. Now, in 2019 the machinery has a book value of £141,000. The fair value less selling costs of the machinery is £302,000 and its value in use is £213,000. During impairment testing, Bambung recognized the possibility of a reversal of the previous impairment loss. What amount, if any, should Bambung recognize as a reversal of impairment loss under IFRS?

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The Answer of In 2012, TallyHo Farms acquired production machinery at a cost of £400,000. In 2015, when accumulated depreciation was £152,000, Bambung reported an impairment loss of £77,000. Now, in 2019 the machinery has a book value of £141,000. The fair value less selling costs of the machinery is £302,000 and its value in use is £213,000. During impairment testing, Bambung recognized the possibility of a reversal of the previous impairment loss. What amount, if any, should Bambung recognize as a reversal of impairment loss under IFRS?

In 2012, TallyHo Farms Acquired Production Machinery at a Cost