Handbook of International Public Sector Accounting
Pronouncements
2014 EditionVolume II
International Public Sector Accounting Standards Board
International Federation of Accountants 529 Fifth Avenue, 6th Floor
New York, New York 10017 USA
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ISBN: 978-1-60815-182-0
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TOC VOLUME II 849
TABLE OF CONTENTS VOLUME II
Page
IPSAS 26Impairment of Cash-Generating Assets .......................................... 850
IPSAS 27Agriculture ................................................................................... 909
IPSAS 28Financial Instruments: Presentation ............................................... 937
IPSAS 29Financial Instruments: Recognition and Measurement ................... 1025
IPSAS 30Financial Instruments: Disclosures ................................................ 1295
IPSAS 31Intangible Assets .......................................................................... 1345
IPSAS 32Service Concession Arrangements: Grantor ................................... 1399
Introduction to the International Public Sector Accounting Standard under the Cash Basis of Accounting .................................................................... 1459
Cash Basis IPSASFinancial Reporting Under the Cash Basis of Accounting ............................................................................................... 1460
Introduction to Recommended Practice Guidelines ........................................... 1584
RPG 1Reporting on the Long-Term Sustainability of an Entitys Finances .... 1585
RPG 2Financial Statement Discussion and Analysis ..................................... 1616
Glossary of Defined Terms for IPSASs 132 ................................................... 1627
Accrual IPSASs on Issue at January 15, 2014 .................................................. 1666
Summary of Other Documents ......................................................................... 1676
IPSAS 26 850
IPSAS 26IMPAIRMENT OF CASH-GENERATING ASSETS Acknowledgment
This International Public Sector Accounting Standard (IPSAS) is drawn primarily from International Accounting Standard (IAS) 36, Impairment of Assets, published by the International Accounting Standards Board (IASB). Extracts from IAS 36 are reproduced in this publication of the International Public Sector Accounting Standards Board (IPSASB) of the International Federation of Accountants (IFAC) with the permission of the International Financial Reporting Standards (IFRS) Foundation.
The approved text of the International Financial Reporting Standards (IFRSs) is that published by the IASB in the English language, and copies may be obtained directly from IFRS Publications Department, First Floor, 30 Cannon Street, London EC4M 6XH, United Kingdom.
E-mail: [email protected]
Internet: www.ifrs.org
IFRSs, IASs, Exposure Drafts, and other publications of the IASB are copyright of the IFRS Foundation.
IFRS, IAS, IASB, IFRS Foundation, International Accounting Standards, and International Financial Reporting Standards are trademarks of the IFRS Foundation and should not be used without the approval of the IFRS Foundation.
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mailto:[email protected]://www.ifrs.org/
IPSAS 26 851
IPSA
S 2
6
IPSAS 26IMPAIRMENT OF CASH-GENERATING ASSETS History of IPSAS
This version includes amendments resulting from IPSASs issued up to January 15, 2014.
IPSAS 26, Impairment of Cash-Generating Assets was issued in February 2008.
Since then, IPSAS 26 has been amended by the following IPSASs:
Improvements to IPSASs 2011 (issued October 2011)
Improvements to IPSASs (issued January 2010)
IPSAS 27, Agriculture (issued December 2009)
IPSAS 29, Financial Instruments: Recognition and Measurement (issued January 2010)
IPSAS 31, Intangible Assets (issued January 2010)
Improvements to IPSASs (issued November 2010)
Table of Amended Paragraphs in IPSAS 26
Paragraph Affected How Affected Affected By
Introduction section Deleted Improvements to IPSASs October 2011
2 Amended IPSAS 27 December 2009 IPSAS 29 January 2010 IPSAS 31 January 2010
8 Amended IPSAS 27 December 2009 IPSAS 29 January 2010
9 Amended IPSAS 29 January 2010
27 Amended Improvements to IPSASs November 2010
123 Amended Improvements to IPSASs January 2010
126A New Improvements to IPSASs January 2010
126B New Improvements to IPSASs January 2010
IPSAS 26 852
Paragraph Affected How Affected Affected By
126C New IPSAS 31 January 2010
IPSAS 26 853
IPSA
S 2
6
February 2008
IPSAS 26IMPAIRMENT OF CASH-GENERATING ASSETS
CONTENTS
Paragraph
Objective ............................................................................................ 1
Scope .................................................................................................. 212
Definitions .......................................................................................... 1320
Cash-Generating Assets ................................................................ 1418
Depreciation ................................................................................. 19
Impairment ................................................................................... 20
Identifying an Asset that may be Impaired ........................................... 2130
Measuring Recoverable Amount .......................................................... 3170
Measuring the Recoverable Amount of an Intangible Asset with an Indefinite Useful Life ................................................ 37
Fair Value less Costs to Sell .......................................................... 3842
Value in Use ................................................................................. 4370
Basis for Estimates of Future Cash Flows ............................... 4651
Composition of Estimates of Future Cash Flows .................... 5266
Foreign Currency Future Cash Flows ..................................... 67
Discount Rate ........................................................................ 6870
Recognizing and Measuring an Impairment Loss of an Individual Asset ............................................................................................ 7175
Cash-Generating Units ........................................................................ 7697
Identifying the Cash-Generating Unit to which an Asset Belongs .. 7784
Recoverable Amount and Carrying Amount of a
Cash-Generating Unit ................................................................... 8590
Impairment Loss for a Cash-Generating Unit ................................ 9197
Reversing an Impairment Loss ............................................................. 98111
Reversing an Impairment Loss for an Individual Asset .................. 106109
Reversing an Impairment Loss for a Cash-Generating Unit ........... 110111
IMPAIRMENT OF CASH-GENERATING ASSETS
IPSAS 26 854
Redesignation of Assets ...................................................................... 112113
Disclosure ........................................................................................... 114125
Disclosure of Estimates used to Measure Recoverable Amounts of Cash-Generating Units Containing Intangible Assets with Indefinite Useful Lives .................................................. 123125
Effective Date ...................................................................................... 126127
Appendix A: Application Guidance
Appendix B: Amendments to Other IPSASs
Basis for Conclusions
Illustrative Decision Tree
Implementation
