This report provides a comprehensive analysis of asset impairment, focusing on the application of IAS 36. It begins by defining asset impairment and explaining how it is calculated, including the concepts of carrying value, recoverable amount, and impairment loss. The report then explores the reasons for asset impairment, such as changes in market value, interest rates, technology, and regulations. Using a case study involving an oil drilling platform, the report demonstrates how to apply IAS 36 to determine if an impairment has occurred, considering factors like the carrying amount, potential sale offers, and present value of cash flows. The report also examines the accounting treatment of dismantling costs and revaluation gains. Furthermore, it discusses the practical implementation of the impairment review process, highlighting both its advantages, such as improved stakeholder information, and its current criticisms, such as valuation challenges and a lack of detailed guidance. Finally, the report addresses the impact of acquisitions on financial statements, focusing on the UAE Company's acquisitions of Endomondo and MyFitnessPal. It analyzes the financial effects of these acquisitions, including changes in revenue, expenses, and goodwill, and discusses the potential benefits and impacts on financial statements.