This report provides a comprehensive analysis of asset revaluation and impairment testing, covering key aspects such as fair value measurement, the application of AASB 13, and the advantages and disadvantages of different valuation methods. The report explores the determination of fair value, considering the role of market participants and transaction costs. It contrasts the cost model with the revaluation model, highlighting the advantages of each. Furthermore, the report delves into the concept of Cash Generating Units (CGUs) and their significance in impairment testing, particularly in the context of a bus company, illustrating how CGUs are determined and utilized to assess the recoverable amount of assets. The report concludes that CGUs are important components of a bus riding company and are superior over a single asset. The report also discusses the disadvantages of using historical costs for depreciation, and the advantages of using the cost model over the revaluation model. The report provides a detailed overview of the relevant accounting standards and their practical application.