The regional radio station Onde Claire holds a broadcasting authorisation that has so far been renewed without difficulty and is therefore not amortised. At the end of 20X5, the regulator announces that frequencies will be reallocated by tender in 9 years: the authorisation will end at that date, with no residual value. Its carrying amount is 2,250,000; the appointed valuer has determined under IAS 36 a recoverable amount of 2,600,000. What impairment loss should be recognised at the end of 20X5, and what annual charge should be used thereafter?
- Carrying amount of the authorisation
- 2,250,000
- Recoverable amount determined under IAS 36
- 2,600,000
- Years remaining until reallocation
- 9