Dfs

Terdoo

What is an impairment loss? can someone define this please with some working? I think this an IAS question

What are the objective of financial statement?

Who is interested in financial information?
I can't remember anything i have gone blank

Thanks in advance

A-Vic

Impairement is when good will is reduced by %

So you worked out goodwill at 10,000 and reduce it by 10% (1000)goodwill will be 9000 but also reduce since aqustion figures by (1000)

A-Vic

Also bank managers, managers, shareholders, owners of the entity would be interested by financial statements

Terdoo

Re Dfs

thanks for the quick answer, but what is an intangible asset, you made your difinition easy to remember

A-Vic

An intagbul asset is development and reserch in a new product for production or a client list ect as my book states its an asset you just cant kick it (not goodwill tho that is covered in another standard) although it is simular

A-Vic

Also for the objectives of financial statements are "ACCURATE"

AT THE USER
COMPARABILITY
CONSISTENCY
UNDERSTANDABILITY
RELEVENCE AND RELIABILITY
ACCRUALS AND GOING CONCERN
TIMELY
ELEMENTS OF FINANCIAL STATEMENTS

twinmeister

ias1

Brilliant A-Vic.

Thanks