CERTYNEX IFRS ACADEMY

Kerbrat Mécanique measures its machines under the cost model. The conditions for reversing an impairment loss are met for one of them. Where is the reversal recognised?

In equity, in a specific reversal reserve.

Immediately in profit or loss.

In other comprehensive income, then recycled to profit or loss over the remaining life.

As a reduction of future depreciation, with no entry at the date of the reversal.