Under IFRS, There Is Never an Impairment Loss Related to Goodwill

question 72

Multiple Choice

Under IFRS, there is never an impairment loss related to goodwill when ________.

• A) the value in use of the cash-generating unit is less than its fair value less cost to sell
• B) the value in use of the cash-generating unit is greater than its fair value less cost to sell
• C) the recoverable amount of the cash-generating unit less than the carrying value of the cash-generating unit
• D) the recoverable amount of the cash-generating unit is greater than the carrying value of the cash-generating unit including goodwill

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Definitions:

Travel Expenses

Costs incurred by an employee or a business when travelling for business purposes, which can include accommodations, meals, transportation, and other expenses.

Spending Variance

The difference between the actual amount spent and the budgeted or expected amount, used in budgeting and financial planning.

Cleaning Equipment

Hardware and machinery used specifically for the purpose of cleaning and maintaining cleanliness in various settings.

Flexible Budget

A budget that is conceived to flex with variations in activity scale or volume.