ABSTRACT: A real$-$world incident inspired this instructional case involving a highly publicized cruise ship mishap

that signaled a possible impairment loss. The case requires students to apply fair value standards relevant to

nonfinancial assets and perform impairment testing using United States Generally Accepted Accounting Principles

$($U$.$S$.$ GAAP$)$ and$/$or International Financial Reporting Standards $\{$IFRS$)$ in the context of judgment$-$based estimates

of future cash flows. emerging incentives, and pressures facing the divisional chief financial officer $($CFO$).$ In addition

to asset impairment calculations, the complexities of this situation challenge students to evaluate ethical issues,

develop alternatives, and recommend a course of action for the divisional CFO. Finally, the case requires students to

explore corporate reputation risk and the accounting implications for reputation$-$damaging incidents. This case can fit

in an international accounting, intermediate, or graduate$-$level financial accounting course.