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CA Final · Financial Reporting · Ind AS 36 Impairment of Assets

Reddy Pharma Ltd. wants to know why Ind AS 36 omits the Illustrative Examples references in paragraphs 103 and 137 and in paragraph C9 of Appendix C. What is the stated position?

The paragraphs are deleted because they refer to Illustrative Examples that are not an integral part of IAS 36. Their paragraph numbers are retained in Ind AS 36 to stay consistent with IAS 36 numbering, so the numbers remain but without content.

  1. AThe paragraphs were deleted because the examples are not integral to IAS 36, but the paragraph numbers are retained.Correct
  2. BThe paragraphs were deleted and the numbers were reassigned to new requirements.
  3. CThe paragraphs are retained in full since the examples are part of Ind AS 36.
  4. DThe paragraphs were deleted because corporate assets are outside Ind AS 36.

Explanation

The comparison states that these paragraphs refer to Illustrative Examples that are not an integral part of IAS 36 (corporate assets, disclosure and a non-wholly-owned CGU with goodwill). They are deleted in Ind AS 36, and the numbers are retained for consistency with IAS 36. Reassignment would break that consistency.

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