The articles in our ‘Insights into MFRS 136’ series have been written to assist preparers of financial statements and those charged with the governance of reporting entities understand the requirements set out in MFRS 136, and revisit some areas where confusion has been seen in practice.
We will cover:
- Recoverable amount and fair value less costs of disposal
- Value in use – estimating future cash inflows and outflows
- Value in use – applying the appropriate discount rate
This article is the second in a three-part series on Step 4 of the impairment review on estimating the recoverable amount and discusses estimating future cash inflows and outflows in value in use (VIU) calculations.
This article is the second in a three-part series on Step 4 of the impairment review on estimating the recoverable amount.
How we can help
We hope you find the information in this article helpful in giving you some insight into MFRS 136. If you would like to discuss any of the points raised, please do not hesitate to contact us.