Held for distribution to owners

Learning objectives

• Determine whether an asset is classified as held for distribution to owners.L3

Normative references

• IFRS 5 §12AHeld for distribution to owners: the entity is committed to distribute; the assets are available for immediate distribution in their present condition and the distribution is highly probable (actions to complete it initiated, completion expected within one year from classification, significant changes or withdrawal unlikely, probability of shareholders' approval considered).

Original summaries of the paragraphs (reference register), never a quotation of the standard.

1 question

• To classify an asset as held for distribution to owners, the entity does not have to be committed to the distribution: it is enough that it contemplates it.L3