The Cost Recovery Impairment Model

question 48

Multiple Choice

The cost recovery impairment model

• A) uses undiscounted cash flows in its determination of impairment.
• B) uses discounted cash flows in its determination of impairment.
• C) is the method used under IFRS.
• D) requires the calculation of value in use.

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Definitions:

Pulmonary Trunk

The major blood vessel that carries blood from the heart's right ventricle to the lungs for oxygenation.

Superior Vena Cava

A large vein that carries deoxygenated blood from the upper half of the body to the heart.

Gap Junctions

Specialized intercellular connections between a multitude of animal cell-types that directly connect the cytoplasms of two cells, allowing various molecules, ions, and electrical impulses to directly pass through a regulated gate between cells.

Cardiac Muscle Cell

Specialized muscle cells found only in the heart, featuring unique properties such as automaticity and the ability to contract as a unit.