Impairment reversal

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I have a company which is liquidating and has a joint investment in a joint venture company which is also being dissolved. The investment in clients books have been impaired to the net assets of the joint venture as at ye 30/6/2019 and an impairment loss was recognised.  The net asset increased for pe 31/12/2019, how do I treat this please? Do I have to reverse the impairment to current period jv net assets through profit and loss please?

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By paul.benny
16th May 2020 08:00

Depends on how it has been accounted for in the first place. FRS102 permits more than one method - see section 15 of the standard.

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By Fum
16th May 2020 10:40

The impairment loss was recognised in profit and loss initially. It was arrived at using the percentage share of the company in the jv net asset as at 1st year year end, in the subsequent period the net asset has increased making the hence the question. Equity method has been used to account for the whole investment.

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