Reminder: Changes to impairment testing rules for not-for-profits
Since 1 January 2017, not-for-profit (NFP) entities have been required to determine the recoverable amounts of non-cash-generating assets by reference to the asset’s current replacement cost (as a measure of fair value under the current requirements of AASB 13: Fair Value Measurement) rather than the asset’s depreciated replacement cost (as a measure of value in use under the previous requirements of AASB 136: Impairment of Assets).