An online bank measures its internally developed payment platform at cost; the platform cost 1,350,000 and has been amortised by 450,000 to date. Following a major outage of the platform, the bank performs a test under IAS 36: the recoverable amount determined is 990,000. Under IAS 36, when the recoverable amount is lower than the carrying amount, the difference is recognised as an impairment loss in profit or loss. What is the carrying amount before the test and what impairment loss must be recognised?
- Cost of the platform
- 1,350,000
- Accumulated amortisation
- 450,000
- Recoverable amount determined under IAS 36
- 990,000