Which one of the following is incorrect (false) with respect to the \"impairment

Question

Which one of the following is incorrect (false) with respect to the "impairment" of a long-lived asset?

a. an entry is required when the impairment occurs and not just when the asset is disposed of

b. A loss is recorded, and the loss is reported in "other revenues & expenses and gains & losses" section of the income statement

c. occurs when the book value of the asset is less than the estimated future cash flows generated by the asset

d. the asset which is impaired is credited in the entry needed to record the impairment

Explanation / Answer

Which one of the following is incorrect (false) with respect to the "impairment" of a long-lived asset? c. occurs when the book value of the asset is less than the estimated future cash flows generated by the asset

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