Impairment
FEATURED ARTICLES
All articles in this category pertain to impairment. An impairment is the permanent reduction in the value of an asset as the result of the asset no longer being able to generate income, cash or other benefit equal to or greater than its current book value. Whether physical or intangible, assets should be tested for impairment regularly. Unlike depreciation, which is normal wear and tear, impairment can be caused by a sudden change in a company’s circumstances, such as a natural disaster or a global economic issue.
Learn more about impairment below.
Recent articles
A Summary of Early Critical Audit Matter Reporting
This article summarizes critical audit matters and the related audit report communication requirements.
A Look Back at 2020 Lease Accounting
An overview of lease accounting in 2020.
What is impairment?
This article discusses impairment and how it relates to assets on your balance sheet.
FASB Proposes Accounting Alternative for Goodwill Impairment Triggering Events
How private companies evaluate goodwill impairment triggering events.
When to Test Goodwill and Indefinite-Lived Intangible Assets for Impairment
See how operations negatively affected by COVID-19 can test their assets for impairment.
Key Facts to Know About Financial Reporting and COVID-19
Millions of businesses have been closed, hoping and praying that the economic crisis is temporary. All levels of supply chain and distribution have been disrupted, creating havoc with inventories, equipment, and works in process. With few exceptions (grocery stores,...