Factors that may indicate that a financial asset is impaired

Briefly explain any three factors that may indicate that a financial asset is impaired

  • A significant financial difficulty of the issuer that is willing to pay interest or principal at the date of
  • A breach of contract for example not complying with requirements of the terms( such as solvency levels)
  • Becoming probable that the borrower will enter into bankruptcy or borrower enters into financial


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