Which of the Following Is Not a Part of the Impairment

question 106

Multiple Choice

Which of the following is not a part of the impairment test of equipment under IFRS?

• A) determine the asset's carrying value
• B) determine the asset's fair value less costs to dispose
• C) determine the fair value of the cash-generating unit without the asset
• D) determine the discounted value of the future cash flows expected to be derived from the asset

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Definitions:

Difference Threshold

The smallest detectable difference between two stimuli that a person can perceive.

Absolute Threshold

The minimum intensity of a stimulus that one can perceive, signifying the point at which a stimulus becomes noticeable to our senses.

Signal Detection

A technique or process used to identify the presence or absence of a stimulus under conditions of uncertainty.

Difference Threshold

The minimum difference in stimulation that a person can detect 50% of the time, also known as the just noticeable difference (JND).