Increases in the recoverable value of a total disposal group are:
A) recorded in net income.
B) recorded in net income but are limited to the carrying value of the disposal group on the date it was designated as held-for-sale.
C) ignored.
D) credited to Retained Earnings.

Question

Quizplus · Accepted Answer

Increases in the recoverable value of a total disposal group are recorded in net income but are limited to the carrying value of the disposal group on the date it was designated as held-for-sale. This is in accordance with the guidance provided by IFRS 5 Non-current Assets Held for Sale and Discontinued Operations.

Increases in the Recoverable Value of a Total Disposal Group