Impairment of Long-Lived Assets: IFRS (IAS 36) vs ASPE (3063) | CPA Canada CFE

Struggling with the impairment of long-lived assets for your CPA Canada modules or the CFE? The approach you take depends entirely on whether you are applying IFRS or ASPE—and mixing them up is a common trap. In this video, we break down the exact differences between IAS 36 (IFRS) and Section 3063 (ASPE). We cover the indicators of impairment, the critical difference between the one-step and two-step testing models, and how to properly measure and record the impairment loss for your exam cases. Don't forget to like, subscribe, and hit the notification bell for more technical accounting breakdowns tailored for CPA Canada candidates! 📌 What You Will Learn: Indicators of Impairment: Triggers under both frameworks. The ASPE 3063 Approach: The two-step test (Recoverability test using undiscounted cash flows vs. Measurement). The IAS 36 Approach: The one-step test comparing carrying amount to the recoverable amount (higher of Fair Value Less Costs of Disposal and Value in Use). Reversals: When you can (and cannot) reverse an impairment loss under IFRS vs. ASPE. Journal Entries: Step-by-step examples to secure your quantitative marks. ⏱️ Timestamps: 0:00 - Intro 0:54 - What Is Asset Impairment? 2:35 - Triggers 3:32 - IFRS (IAS 36): The One-Step Test Explained 4:32 - ASPE (Section 3063): The Two-Step Test Explained 5:55 - IFRS vs ASPE 6:31 - Example 1 7:05 - Example 2 7:38 - Summary 9:16 - Conclusion 📚 About ShumzCPA: Welcome to ShumzCPA! This channel is dedicated to helping students and professionals master complex accounting, audit, and assurance topics. Whether you are navigating Core 1, tackling your electives, or developing your CFE strategy, we provide the technical breakdowns you need to succeed in your Canadian accounting journey. 🔗 Connect & Learn More: Subscribe for more CPA Canada tutorials: [Insert Channel Link] Got a case question? Drop it in the comments below! #CPACanada #CFEprep #IAS36 #ASPE3063 #FinancialAccounting #AssetImpairment #ShumzCPA #AccountingStudent #Core1 #CPAExam #IFRSvsASPE