In Focus: Cash-generating units and grouping of assets

In Focus: Cash-generating units and grouping of assets

In the first webinar in the Impairment series, we discussed the concepts underlying impairment and the rationale for impairment testing when applying Australian Accounting Standards.

This sets the groundwork for our second instalment – understanding cash-generating unit (CGUs) and the allocation of assets to them.

We touch on some of the less-understood concepts when identifying CGUs, including examples where multiple discrete operations can and cannot be grouped into a single CGU.

In our final webinar of this impairment series, we explain the difference between testing impairment of assets and CGUs and testing goodwill for impairment – including grouping of CGUs.