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When should you create an impairment loss on receivables?

Publication date: 2013-03-04 19:07:45

Receivables are adjusted by provisions subject to probability of collection,
The principle of prudent valuation requires updates of asset valuation => update of asset value (IAS 2 par.28, 33).
Provisions are recognised to debtors in liquidation, bankrupt debtors, those that question the debt, overdue and non-overdue when the probability of non-collection is material (IAS 39, par.58, 59).

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Regards,
Slawomir Ekman
24iValue

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