Fixed Assets - EBS (MOSC)

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Impairment Computation

edited Apr 28, 2020 9:03AM in Fixed Assets - EBS (MOSC) 13 commentsAnswered

Hi,

We are doing Fixed Assets Impairment and found below Impairment computation:

Impairment Computation

Carrying Cost = Cost – (Accum. Depreciation + Current period depreciation) – Previous impairment exp.

Impairment Loss = Carrying Cost – Net Fair Value

Issue here is that the above formula does not include Salvage Value .

Is there a way we can include Salvage Value on the Impairment computation?

Thank you very much  for the help.

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