Which of the following statements is(are) correct about the
carrying amount of a long-lived asset after an impairment loss has
been recognized? Assume the long-lived asset is being held for
use in the business and that the asset is depreciable.
I. The reduced carrying amount of the asset may be increased
in subsequent years if the impairment loss has been recovered.
II. The reduced carrying amount of the asset represents the
amount that should be depreciated over the asset’s remaining