AASB 136 Impairment Analysis for Gail Ltd
VerifiedAdded on 2019/09/16
|7
|1480
|185
Report
AI Summary
This report provides a detailed analysis of AASB 136, focusing on its application to Gail Ltd's asset impairment assessment. The report discusses the key concepts of recoverable amount, fair value, and carrying value, and how they relate to the impairment of assets such as land, buildings, and goodwill. It highlights that while AASB 136 mandates the consideration of goodwill for impairment, Gail Ltd did not include it in their evaluation. The analysis concludes that based on the provided information, the impairment loss should be charged to the land, as it is the only asset with a specified fair value less cost of disposal. The report also emphasizes the importance of managerial discretion and potential agency problems when companies do not adhere to accounting standards.
Contribute Materials
Your contribution can guide someone’s learning journey. Share your
documents today.
1 out of 7