Non-Current Assets Held for Sale & Discontinued Operations Working Paper
NON-CURRENT ASSETS HELD FOR SALE & DISCONTINUED OPERATIONS — AUDIT WORKING PAPER (IND AS 105)
Entity: {{client_name}} · Period ended: {{period_end}}
A. Held-for-Sale Classification Test
- The asset (or disposal group) is available for immediate sale in its present condition, subject only to terms that are usual and customary.
- The sale is highly probable — management is committed to a plan to sell, an active programme to locate a buyer has been initiated, the asset is being actively marketed at a reasonable price relative to fair value.
- The sale is expected to be completed within one year of classification (with limited, specific exceptions where the delay is caused by events/circumstances beyond the entity's control and there is continued commitment to the plan).
B. Measurement
Confirm the asset/disposal group, once classified as held for sale, is measured at the LOWER of its carrying amount and fair value less costs to sell — and is no longer depreciated/amortised from the date of classification.
C. Discontinued Operations Test
A component qualifies as a discontinued operation if it has either been disposed of, or is classified as held for sale, AND represents a separate major line of business or geographical area of operations, is part of a single co-ordinated plan to dispose of such a line/area, or is a subsidiary acquired exclusively with a view to resale.
D. Presentation Test
- A single amount comprising the post-tax profit/loss of discontinued operations and the post-tax gain/loss on disposal (or on measurement to fair value less costs to sell) is presented on the face of the statement of profit and loss.
- Assets and liabilities of a disposal group classified as held for sale are presented separately from other assets/liabilities in the balance sheet — NOT offset against each other.
- Comparative statement of profit and loss is re-presented as if the operation had been discontinued from the start of the comparative period (balance sheet is NOT restated).
E. Conclusion
Conclusion on classification, measurement and presentation compliance: ____________________________________________
Prepared by: ______________ Date: 30 July 2026
Reviewed by: ______________ Date: ______________
