NON CURRENT ASSETS HELD FOR SALE

- CA will be recovered principally

- Conditions:
o Immediate sale
o Highly probable
▪ Committed plan to sell
▪ Active program
▪ Sale is expected to be a completed sale within one year BUT it can be beyond as
long as it is WITHIN ENTITY’S CONTROL
▪ Sale price is reasonable
- Measurement:
1. LOWER of CA & FV – cost of disposal (not depreciated)
o FV – cost of disposal < CA = Impairment loss
o FV – cost of disposal = gain BUT NOT IN EXCESS of any impairment loss recognized
2. Revaluation Model (before it was held for sale)
o FV prior to the period it was recognized as held for sale) – CA = revaluation surplus
o The cost of disposal shall be recognized as impairment loss
- ABANDONED NCA = not a NCAHFS except if it is only temporary abandonment
- CEASES to be NCAHFS @ lower of:
o CA before hfs and still adjusted for depreciation, amortization, or revaluation
o Recoverable amount @ date of decision not to sell
o RECLASSIFY from NCAHFS to PPE
- PRESENTATION:
o NCAHFS = current assets
o If in disposal group:
▪ Assets – noncurrent assets classified as held for sale
▪ Liability – liabilities directly associated with noncurrent assets classified as held
for sale