CERTYNEX IFRS ACADEMY

Pradel is testing a production unit. Three sets of forecasts are available. Which one should serve as the basis for the cash flow projections in value in use?

The plan prepared by the unit's director, more optimistic, which management has not yet reviewed

The most recent budget approved by management, adjusted to remove the effects of an uncommitted restructuring and of enhancement investments

The most recent approved budget, including the savings of a restructuring the board is studying without being committed to it

The budget approved three years ago, considered more reliable by management control