Let's assume our cash generating uint generates economic benefits group consists of three assets: CNC machine with a book value of ? 100 thousand, milling machine with a book value of ? 80 thousand  and planer with a book value of ? 50 thousand. Value in use around the resort is ? 200 thousand. In contrast, the fair value less costs to sell is appropriate for machine tools, milling and planing is ? 20 thousand, ? 10 thousand, and ?60 thousand, respectively.

Impairment of the entire unit, we will calculate as on the basis of a single fixed asset:

fair value - cost of sales = ? 20 thousand + ? 10 thousand + ? 60 thousand = ?90 thousand

value-in-use = ? 200 thousand

the recoverable amount = ? 200 thousand ( higher of ? 90 thousand, or ? 200 thousand).

the carrying amount of ? 100 thousand + ?80 thousand + ? 50 thousand = 230 thousand

impairment = ? 230 thousand - ? 200 thousand = ? 30 thousand

How to properly account for impairment assets, included in a single cash-generating unit economic benefits?

Firstly, one has to note that in the event planer book value (? 50 thousand) is lower than the fair value less costs to sell (? 60 thousand), therefore this machine, do not include the write-down.

There remains the question as to the value of impairment at the level of ? 30 thousand  between two assets : CNC machine with a book value of ? 100 thousand  and milling of ? 80 thousand . You can assign a proportion to the size of the write-down the carrying value of fixed assets:

CNC machine

adjusted net worth = ? 100 thousand - ( ? 100 thousand) / (? 100 thousand + ?80 thousand) × ? 30 thousand = ? 83 thousand

milling machine

adjusted net value = ? 80 thousand - ( ? 80 thousand) / (? 100 thousand + ?80 thousand). × ? 30 thousand = ? 67 thousand

Thus, adjusted for impairment of fixed assets book value of these machines will be equal in the case of planer ? 50 thousand, CNC machine ? 83 thousand  and milling machine ? 67 thousand.

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