FASB update of Entertainment-Films-Other Assets-Film Costs No 2019-02 provides that unamortized film costs shall be tested for impairment when events of changes in circumstances indicate a fair value of the film may be less than its unamortized cost. Which of the following is NOT example of changes in circumstances?

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter12: Intangibles
Section: Chapter Questions
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Question 7

FASB update of Entertainment-Films-Other Assets-Film Costs No 2019-02 provides that unamortized film costs shall be tested for impairment when events of changes in circumstances indicate a fair value of the film may be less than its unamortized cost. Which of the following is NOT example of changes in circumstances?

  A.

Actual costs are substantially in excess of budgeted costs

  B.

Substantial delays in completion or release schedules

  C.

An adverse change in the expected performance of a film prior to release

  D.

all of the answers provided are examples of changes in circumstances.

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