Elan wrong on answer???

Question

So below are two questions on the elan practice book set of questions. That i swear they are wrong in their answer choices. The first one from my understanding US GAAP never allows the reversals of impairment losses? Am i just loosing my mind or am I correct? Similar situation to number two as well same principle and concept. Please someone provide some clarification on what I am missing. My answers are C for question 1 and B for question two Which of the following statements about reversals of impairment losses is least accurate?IFRS allows reversals of impairment losses only for assets held-for-sale.U.S. GAAP does not allow reversals of impairment losses for assets held-for-use.U.S. GAAP allows reversals of impairment losses for assets held-for-sale.Answer: AIFRS allows reversals of impairment losses if the values of assets increase, regardless of their classification. (Wiley 30-22)Wiley. Practice Questions for 2015 Level I CFA Exam. John Wiley & Sons P&T, 2014-08-27. VitalBook file.The citation provided is a guideline. Please check each citation for accuracy before use.Which of the following statements about upward revaluations of long-lived assets is most accurate?U.S. GAAP only allows reversal of impairment losses for assets held-for-sale.IFRS only allows increases in the value of long-lived assets to the extent of previously recognized revaluation losses.Under IFRS, reversal of revaluation loss does not affect shareholders’ equity.Answer: AUnder IFRS, upward revaluations do impact shareholders’ equity (either directly through the revaluation surplus) or indirectly (through the income statement). Further, under IFRS, revaluations may take the value of an asset beyond its historical cost.

googs1484 · Answer

Key word is available for sale. Which are recorded at fair value which will fluctuate but not through the IS.

mvibs · Answer

Question 1:   Keyword in Answer 1 = Only, IFRS can revalue any assets.Question 2: The Revalue allowed, but is shown in a Valuation Allowance (Contra Account), as opposed to the asset itself being revalued once it is written down, Profit/loss is shown on IS at time of sale. For Answer 2, they can be revalued above original value, but the gain recognized on IS may only be up to the amount of the original write down.  Then, it would hit S/E to balance out the higher asset level.  But the asset may be revalued higher (going to need disclosures about date, process etc.)BTW, Logically, if Question 2 is Answer A, then Question 1 Cannot possibly be Answer C (Least accurate and Most accurate probably won't be the same answer)