Skip to content

CMA Final · Corporate Financial Reporting · Impairment of Assets (Ind AS 36)

Ind AS 36 carries no transitional provisions of its own, and paragraphs 138-140K and 140M are retained only by number. Which statement correctly reflects the official comparison with IAS 36?

Ind AS 36 omits IAS 36 transitional provisions because relevant ones are placed in Ind AS 101. Paragraphs 138-140K and 140M are not included as they are not relevant in the Indian context, though the numbers are kept to match IAS 36 numbering.

  1. ATransitional provisions are omitted because Ind AS 101 includes the relevant ones, and the paragraph numbers 138-140K and 140M are retained as they are not relevant in the Indian contextCorrect
  2. BTransitional provisions are omitted because Ind AS 113 now covers them, and paragraphs 138-140K are deleted entirely with the numbers reused
  3. CTransitional provisions are retained in full in paragraphs 138-140K and 140M for first-time adopters
  4. DTransitional provisions are omitted because Ind AS 40 requires the cost model

Explanation

The comparison says IAS 36 transitional provisions are not in Ind AS 36 because transitional provisions, wherever appropriate, are in Ind AS 101. Paragraphs 138-140K and 140M on transition and effective date are not included as not relevant in India, but their numbers are retained for consistency. The other options misattribute the reason to Ind AS 113 or Ind AS 40, or say the text is retained.

Did you get it right without looking?

One question tells you little. A timed set on Impairment of Assets (Ind AS 36) shows your real accuracy, how long you take and where you lose marks.

Practise Impairment of Assets (Ind AS 36)Free diagnostic mock

More Impairment of Assets (Ind AS 36) questions