Insurance

Investment Impairment — Equity Security

Recording an impairment loss on an equity investment that has permanently declined in value.

Account NameTypeDebit ($)Credit ($)
Impairment Loss on InvestmentsExpense (+)15,000.00-
Investment Securities (Equity)Asset (-)-15,000.00

💡 Accountant's Note

Equity investments at FVTPL require fair value changes in P&L — losses flow automatically. For FVOCI equity instruments, impairment is not recycled to P&L but stays in OCI (IFRS 9 change from IAS 39).

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