CERTYNEX IFRS ACADEMY

Fenmoor Ltd has classified a former production site as a non-current asset held for sale. What does IAS 36 provide for this asset?

It must be tested every year under IAS 36, like goodwill, until it is actually sold.

It remains subject to IAS 36 until the sale is completed, since it is a tangible asset.

It falls under IAS 36 only if its carrying amount exceeds the sale price expected by management.

It is excluded from the scope of IAS 36, its measurement being governed by another standard.