Deloitte
Accounting Research Tool
...
Chapter 4 — Long-Lived Assets to Be Disposed of Other Than by Sale

4.4 Spin-Offs and Other Nonmonetary Exchanges Recorded at Carrying Amount

4.4 Spin-Offs and Other Nonmonetary Exchanges Recorded at Carrying Amount

ASC 360-10
Long-Lived Assets to Be Exchanged or to Be Distributed to Owners in a Spinoff
40-4 For purposes of this Subtopic, a long-lived asset to be disposed of in an exchange measured based on the recorded amount of the nonmonetary asset relinquished or to be distributed to owners in a spinoff is disposed of when it is exchanged or distributed. If the asset (asset group) is tested for recoverability while it is classified as held and used, the estimates of future cash flows used in that test shall be based on the use of the asset for its remaining useful life, assuming that the disposal transaction will not occur. In such a case, an undiscounted cash flows recoverability test shall apply prior to the disposal date. In addition to any impairment losses required to be recognized while the asset is classified as held and used, an impairment loss, if any, shall be recognized when the asset is disposed of if the carrying amount of the asset (disposal group) exceeds its fair value. The provisions of this Section apply to nonmonetary exchanges that are not recorded at fair value under the provisions of Topic 845.