Why are assets impaired?

Q: What is an intangible asset? Provide some examples.

A: Intangible assets: These are the long-term assets which are not physical in nature, but possess…

Q: WHAT IS LEGAL LIFE OF THE ASSET?

A: SOLUTION- LEGAL LIFE OR USEFUL LIFE OF ASSET- AN ASSET LEGAL LIFE IS THE PERIOD OF TIME (OR TOTAL…

Q: Why are the impairment rules for goodwill different than for other assets? Explain

A: Goodwill: Goodwill is the good reputation developed by a company over years. This is recorded as an…

Q: What are those short-lived assets?

A: Short Lived Asset A short lived asset is an asset that's to be sold , converted to money, or…

Q: What is meant by depreciable base? How is it determined?

A: Depreciable base: The word depreciable base is used to depict the value that is divided by the…

Q: What if noncurrent asset is not a subtitle I can chose from? Is there another heading I can use or…

A: The non-current assets means those assets which are not current assets, i.e. they would benefit the…

Q: With respect to custody of assets - how should duties be segregated?

A: Segregation of duties means separating the accounting functions of authorisation, custody and…

Q: What are the two types of claims against assets?

A: Asset is a resource from which the company expected to generate future economic cash flows which can…

Q: What are permanently restricted net assets?

A: The permanently restricted net assets are held by the non-profit organizations.

Q: None

A: Step 1: IntroductionThe ratio analysis helps to analyse the financial statements of the business on…

Q: What is a capital asset?  Why do we care about the treatment of assets as either capital or…

A: Capital assets is an assets which are generally not meant for sale but for investment purpose which…

Q: What is impairment in the context of intangible assets?

A: Non-physical assets without physical substance but with economic worth to a business or individual…

Q: Explain the accounting issues related to asset impairment.

A: Asset impairment: Asset impairment emerges when there is a sudden drop in the fair value of an asset…

Q: Why might disinflation prove favorable to financial assets?

A: Disinflation is the reduction or lowering of the pace of inflation. In other words in situation of…

Q: What are temporarily restricted net assets?

A: Assets: These are the resources owned and controlled by business and used to produce benefits for…

Q: Are Inventories depreciable property? Why?

A: Depreciable property means an asset which is eligible to book depreciation for accounting and tax…

Q: What are some examples of tangible and intangible assets?

A: Introduction:- Assets are mainly categories into two types based on the existence. these are as…

Q: Which of the following is not a fundamental issue in accounting for property, plant and equipment?…

A: International Accounting Standards IAS are the accounting standards  issued by International…

Q: What are the requirements of depreciating an asset?

A: Depreciation is a non-cash expense which is charged against the use of the fixed assets of the…

Q: Which are the Limitations on Property Rights?

A: Property rights are the rights given to the owner as per law to hold or own a property. A property…

Q: What is an intangible asset? Should all intangible assets be subject to amortization? Explain why or…

A: An intangible asset is one that lacks a physical form. Intangible assets include goodwill, brand…