The coronavirus pandemic infused unprecedented levels of uncertainty into the global and national economies. When the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The coronavirus pandemic infused unprecedented levels of uncertainty into the global and national economies. When the virus became more widely spread in March 2020, businesses closed, workers self-isolated, and customers abstained from the marketplace. Specific industries saw an increase in the demand for their goods and services as the world transitioned to a more distanced, low- contact lifestyle. Other industries, such as energy, certain retail sectors, hospitality, manufacturing, transport and travel, have seen substantial business model disruptions leading to changes in the economic environment resulting in significant reductions in the recoverable values of their long- lived assets. As these changes in values will create sustained negative financial results for an uncertain period, IAS36 requires companies to evaluate the recoverability of long-lived assets, goodwill, and other intangible assets when an event or change in circumstances indicates that an asset may be impaired. You are required to collate all information [from various online sources]-journal articles, organizational & institutional sites, media & newspapers, and international & national cases to discuss the 'triggering events' and factors mitigating the need for business to evaluate their assets for impairment. [Use appropriate case examples of business/industry with reference to individual or group assets to strengthen your discussions in the research paper] The coronavirus pandemic infused unprecedented levels of uncertainty into the global and national economies. When the virus became more widely spread in March 2020, businesses closed, workers self-isolated, and customers abstained from the marketplace. Specific industries saw an increase in the demand for their goods and services as the world transitioned to a more distanced, low- contact lifestyle. Other industries, such as energy, certain retail sectors, hospitality, manufacturing, transport and travel, have seen substantial business model disruptions leading to changes in the economic environment resulting in significant reductions in the recoverable values of their long- lived assets. As these changes in values will create sustained negative financial results for an uncertain period, IAS36 requires companies to evaluate the recoverability of long-lived assets, goodwill, and other intangible assets when an event or change in circumstances indicates that an asset may be impaired. You are required to collate all information [from various online sources]-journal articles, organizational & institutional sites, media & newspapers, and international & national cases to discuss the 'triggering events' and factors mitigating the need for business to evaluate their assets for impairment. [Use appropriate case examples of business/industry with reference to individual or group assets to strengthen your discussions in the research paper]
Expert Answer:
Answer rating: 100% (QA)
Answer In assessing whether there is any indication that an asset may be impaired an entity shall consider as a minimum the following indications External sources of information a there are observable ... View the full answer
Related Book For
Ethical Obligations And Decision Making In Accounting Text And Cases
ISBN: 9781264135943
6th Edition
Authors: Steven Mintz
Posted Date:
Students also viewed these biology questions
-
An increase in the demand for movies also increases the salaries of actors and actresses. Is the long-run supply curve for films likely to be horizontal or upward sloping? Explain.
-
What effect does an increase in the demand for business goods and services have on the real interest rate? What other factors can affect the real interest rate?
-
True or False: 1. An increase in the demand for a good will increase the demand for labor. 2. A decrease in the nonwage income of workers would shift the labor supply curve to the right. 3. The wage...
-
Use any method to determine if the series converges or diverges. Give reasons for your answer. n10 10" n=1
-
A friend owns and operates a consulting firm that works for a single client under one consulting agreement. The consulting firm bills the client monthly for charges incurred. She asks you whether you...
-
In March 1976, Sue made a taxable gift of $200,000. In arriving at the amount of her taxable gift, Sue elected to deduct the $30,000 specific exemption formerly available. In 2015, Sue makes her next...
-
A 10 -year, \(6 \%, \$ 1,000\) bond (cash interest payable \(3 \%\) semiannually) is sold to yield \(8 \%\) interest. Compute the bond selling price.
-
Demand for Quiggly Pops follows an up and down pattern over the four quarters of a year, with peaks in the spring and winter months when special promotions are held. Production is handled by a highly...
-
Short answer: Kindly provide your thoughts and insights on the following statements. 1. How will the rise on financial leverage would impact the cost of equity capital of an organization? 2. ?...
-
A partial trial balance for the Ryman Corporation is presented in the table below. Ryman has recorded some, but not all, of its transactions for the current reporting period, the year ending December...
-
Q3. a) Explain four limitations of ratio analysis. (2 Marks) b)The following comparative information relates to General TradersCompany for the two years ending 30th September. Income Statementsfor 2...
-
Trump Ltd is considering to undertaking a project with the following cash flow patterns. YEAR 1 2 3 4 5 NCF Sh'000 (60000 (6000) 600 13000 16800 The cost of capital is 12% The company's current...
-
Working on a capstone paper and need help with an outline for the main body. I am discussing the relationship between environmental policies and economic development between Germany and the United...
-
1. The Kenmore Square Starbucks offers 12 different style insulted coffee cups to its customers for purchase. The cups cost Starbucks $9.00 each.Last year, the sold 200 per month, evenly spaced...
-
Smithe company has forecast its sales as follows August $ 1 8 0 , 0 0 0 ( actual ) September $ 2 8 0 , 0 0 0 ( actual ) October $ 3 6 0 , 0 0 0 November $ 4 0 0 , 0 0 0 December $ 4 5 0 , 0 0 0 Davis...
-
8. (a) An isotope has an activity of 0.1 Ci. A given GM tube recorded the activity as 2600 counts per second. What is the dead time of the GM tube? (b) The decay constant of a gadolinium silicate...
-
Describe your own experiences with resilience. How resilient have you had to be in your life? Have you been more resilient at some points and less resilient at others? Does your experience with...
-
The following items were displayed in the statement of affairs for Lubbock Company: Fully secured liabilities ......... $90,000 Partially secured liabilities ....... 12,000 Unsecured liabilities...
-
In the same survey, managers were asked how acceptable earnings management was within their companys culture, with 1 = culturally unacceptable and 8 = culturally acceptable. The average response was...
-
Sam and John have been friends for 20 years. They met in college and worked together for 10 of the 20 years. During that time, each made a promise that if they won a lottery they would share the...
-
What does the term civility mean to you? Do you think it is civil behavior to shout down a speaker with whom you do not agree? What about cancelling someone because you dont agree with their message?
-
Describe the research-based steps for buying a personal computer.
-
What are some of the advantages and disadvantages of taking a consumer dispute to small claims court?
-
Eduardo and Ana recently bought a new dining room table that they saw advertised on a furniture manufacturers Web site. When the table arrived and they opened the box, they discovered long, deep...
Study smarter with the SolutionInn App