IFRS 5 (Discontinued Operations)

Question 1

Example of discontinued operation (major line)

Answer 1

A major line of business/geographical region of business

Question 2

Example of discontinued operation (co-ordinated)

Answer 2

Part of single co-ordinated plan to dispose of major line/geographical region of business

Question 3

Example of discontinued operation (resale)

Answer 3

Subsidiary acquired for resale

Question 4

Disclosure in SPL?

Answer 4

Single amount of post-tax profit/loss of discontinued operations and post-tax gain/loss on any FV adjustments

Question 5

What is a discontinued operation?

Answer 5

A component of an entity that either has been disposed of or is classified as held for sale

Question 6

Proceeds - CV on NCA

Answer 6

Gain on disposal, added to discontinued assets