n our previous blogs, as a part of   IAS 36- Impairment of Assets ,   we discussed on what is cash generating unit (CGU), recoverable value, value in use and how to calculate impairment loss etc.   Impairment loss   is calculated as carrying value of an asset or CGU less its recoverable value. In this blog we will further discuss how to  recognise and measure impairment loss  of individual asset or CGU or group of CGU, whether with and without goodwill. Accounting entries for impairment loss on assets or CGU is provided for easy understanding. We’ll also discuss the  manner of impairment testing  to be followed if testing of individual assets/ CGUs coincides with the CGU/ Group of CGUs to which they belong. Recognising and measuring impairment loss (A) Individual asset or CGU without goodwill Accounting entry: Statement of P&L / OCI (in case of revalued assets) A/c Dr. (Impairment loss, if any on individual asset or CGU without goodwill...

  The ACCA Diploma in International Financial Reporting (Dip-IFRS) is a globally recognized qualification, where the syllabus is rich and practical, however, many students find the mode of examination (Computer Based Examination – CBE) and time pressure to be challenging hurdles. Further, per the examiners’ report over past many years, it is an observation of examination team that frequently students lack in understanding the question or what is expected in the answer. Also, students do not explain their numeric answers adequately.   To overcome the above hurdles or challenges, first important step is to understand the exam structure or structure of the question paper. Second step is to understand how the examination utility looks on a computer machine and how to navigate through the various exhibits in question scenario and how to answer without losing time in navigation. The third most important and last step is to practice on such platform in order to reduce time requ...

  The job market is evolving at an unprecedented pace. Automation, artificial intelligence, and digital transformation are reshaping industries, making traditional skills obsolete while increasing demand for new expertise. Employers today value more than just degrees; they prioritize adaptability, problem-solving skills, and a willingness to learn. Whether you aim to rise within your current job, transition to a new field, or launch your own business, committing to learning is key to achieving lasting success. By investing in up skill development , professionals can confidently navigate these shifts and remain competitive in their industry. Benefits of Continuous Learning: With rising competition across industries, s taying Competitive in the Job Market is necessary. Employers today are on the search for team members who can adapt to new technologies and demanding working trends. Continuous knowledge enhancement includes mastering new software, acquiring language skills, or develo...

  Background In previous blog we had seen what property, plant and equipment (PPE) is and its recognition and initial measurement principles under International Financial Reporting Standards (IFRS) as per IAS 16 – PPE. In this blog we will understand accounting for an equally important resource or asset for a business, however, which does not have physical substance, called as intangible asset. Intangible assets cannot be seen or touched because they lack physical substance for e.g. brands, copyrights, patents, trademarks, trade names, Customer relations etc. Intangible assets are crucial for businesses in some sectors because they provide competitive advantage, innovative capabilities and long-term value, in the business.   IAS 38 – Intangible assets under IFRS framework  provides the detailed accounting for such intangible resources. It provides in depth guidance on the topics like which resources can be considered as intangible assets (IA), when entity is eligible...