Question: In contrast to U S GAAP IFRS permits management to reverse
In contrast to U.S. GAAP, IFRS permits management to reverse impairment on fixed assets which have increased in value since the time of their impairment. Revaluations are typically based on estimates of realizable value made by management or independent valuers. Do you expect that these accounting standards will make earnings and book values more or less useful to investors? Explain why or why not. How can management make these types of disclosures more credible?
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