In relation to the impairment of assets, IAS 36 Impairment of Assets, requires the following disclosures for each class of assets:
I The line of the statement of profit or loss and other comprehensive income in which impairment losses are included.
II The amount of reversals of impairment losses during the period.
III The amount of impairment losses recognised directly in other comprehensive income.
IV The beginning and ending balances of any 'provision for impairment' account.
A) I, II, III and IV;
B) I, II and III only;
C) II and IV only;
D) IV only.

Question

In relation to the impairment of assets, IAS 36 Impairment of Assets, requires the following disclosures for each class of assets:
 I The line of the statement of profit or loss and other comprehensive income in which impairment losses are included.
II The amount of reversals of impairment losses during the period.
III The amount of impairment losses recognised directly in other comprehensive income.
IV The beginning and ending balances of any 'provision for impairment' account.
A) I, II, III and IV;
B) I, II and III only;
C) II and IV only;
D) IV only.

Quizplus · Accepted Answer

IAS 36 requires all four disclosures for each class of assets, therefore the best choice is option A. Option B is incorrect as it omits the disclosure of the beginning and ending balances of the provision for impairment account. Option C is also incorrect as it only includes two of the required disclosures. Option D is incorrect as it only includes one of the required disclosures.

In Relation to the Impairment of Assets, IAS 36 Impairment