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update impairment allocation

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in Assets 1 comment


Hello, we have a requirement to first impair 100% of our goodwill and then allocate the remainder of the loss (difference between the NBV before impairment/carrying amount and higher of VIU and NSP) to the other tangible assets as part of a CGU.

I tested the impairment of the CGU with these assets and what happens is that the impairment loss is then allocated to the assets as per the NBV before impairment for each asset/Total NBV before Impairment * Total Impairment Loss of the CGU.

So in effect, the goodwill is not fully impaired.

But then I am able to update the allocation when the Impairment is in status Previewed but when I just update the Impairment Loss amounts in the Update Allocation spreadsheet and then upload and post, the impairment process completes successfully but the impairment loss amounts at the asset level in the Transactions work area remain the same as before the allocation update.

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