The FASB and GASB both have standards for reporting capital asset impairment but with different results. Which of the following is not one of the three methods required by the GASB or the FASB for calculating the impairment of capital assets?

Question

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The FASB requires nongovernmental entities to report an asset impairment if the sum of the undiscounted cash flows that it expects to receive from using an asset in the future is less than its fair value. The GASB requires one of two methods depending on whether the asset has been physically damaged versus the affected by changes in technology. In the first case, a government is required to estimate the cost to restore the service utility of the asset. In the second case, governments would compare the service units that the asset could have been provided before and after the impairment.

The FASB and GASB Both Have Standards for Reporting Capital