CERTYNEX IFRS ACADEMY

At the year-end, a press publisher concludes that the magazine title it had acquired, previously regarded as having an indefinite useful life, now has a useful life of only 6 years. Which of the following consequences are correct?

The change to a finite life is accounted for as a change in estimate.

Prior periods are restated as if the title had been amortised since its acquisition.

This change is an indication of impairment: the title is tested by comparing its recoverable amount with its carrying amount.

The title is amortised from this change, over the remaining useful life of 6 years.

Impairment losses previously recognised on the title are automatically reversed.