Common use of Impairment of assets Clause in Contracts

Impairment of assets. The carrying amounts of the Company’s assets are reviewed at each the reporting period date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated. For goodwill and customer relationship, the recoverable amount is estimated each year at the same time. An impairment loss is recognized whenever the carrying amount of an asset or its cash- generating unit exceeds its recoverable amount. The impairment loss is recognized as expense in the statements of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive income. Calculation of recoverable amount The recoverable amount is the greater of the assets’ fair value less cost to sell or value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, the recoverable amount is determined for the cash-generating unit to which the asset belongs. Reversals of impairment An impairment loss in respect of financial assets is reversed if subsequent increase in recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was recognized as an expense in the statement of profit or loss and other comprehensive income. An impairment loss in respect of goodwill is not reversed. Impairment losses recognized in prior periods in respect of other non-financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, as if no impairment loss had been recognized.

Impairment of assets. The carrying amounts of the Company’s assets are reviewed at each the reporting period date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated. For goodwill and customer relationship, the recoverable amount is estimated each year at the same time. An impairment loss is recognized whenever the carrying amount of an asset or its cash- cash– generating unit exceeds its recoverable amount. The impairment loss is recognized as expense in the statements of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive income. Calculation of recoverable amount The recoverable amount is the greater of the assets’ fair value less cost to sell or value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-–tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, the recoverable amount is determined for the cash-–generating unit to which the asset belongs. Reversals of impairment An impairment loss in respect of financial assets is reversed if subsequent increase in recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was recognized as an expense in the statement of profit or loss and other comprehensive income. An impairment loss in respect of goodwill is not reversed. Impairment losses recognized in prior periods in respect of other non-–financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, as if no impairment loss had been recognized.

Impairment of assets. The At each financial position reporting date, the carrying amounts of the Company’s 's assets are reviewed at each the reporting period date to determine whether there is any indication of impairmentthat those assets are impaired. If any such indication exists, the asset’s recoverable amount of the asset is estimatedestimated in order to determine the extent of the impairment, if any. For goodwill and customer relationshipWhere the asset does not generate cash flows that are independent from other assets, the Company estimates the recoverable amount is estimated each year at of the same timecash-generating unit to which the asset belongs. An impairment loss is recognized whenever the carrying amount of an asset or its cash- generating unit exceeds its recoverable amount. The impairment loss is recognized as expense in the statements of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive income. Calculation of recoverable amount The asset's recoverable amount is the greater higher of the assets’ fair value less cost to sell or costs of disposal and value in use. Fair value is determined as the price that would be received to sell an asset in an orderly transaction between market participants. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, If the recoverable amount is determined for the cash-of an asset or cash generating unit is estimated to which be less than its carrying amount, the carrying amount of the asset belongs. Reversals of impairment An impairment loss in respect of financial assets is reversed if subsequent increase in reduced to its recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was is recognized as an expense in the statement of profit or loss and other comprehensive incomefor the period. An Where an impairment loss in respect subsequently reverses, the carrying amount of goodwill the asset (or cash-generating unit) is not reversed. Impairment losses recognized in prior periods in respect increased to the revised estimate of other non-financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed its recoverable amount, but only to the extent that the asset’s increased carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, as if determined had no impairment loss had been recognized.recognized for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognized immediately in profit or loss. Decommissioning Provision An obligation to incur restoration, rehabilitation and environmental costs arises when environmental disturbance is caused by the exploration, development or ongoing production of a mineral interest by or on behalf of the Company. Costs for restoration of site damage which is created on an ongoing basis during exploration and evaluation are provided for at their net present values and charged against profits in the period such exploration and evaluation occurs. TASMAN METALS LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED AUGUST 31, 2014, 2013 AND 2012 (Expressed in Canadian Dollars - Unless Otherwise Stated) _____________________________________________________________________________________________________________________________________

Impairment of assets. The carrying amounts of the Company’s and its subsidiary’s assets are reviewed at each the reporting period date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated. For goodwill and customer relationship, the recoverable amount is estimated each year at the same time. An impairment loss is recognized whenever the carrying amount of an asset or its cash- cash– generating unit exceeds its recoverable amount. The impairment loss is recognized as expense in the statements of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive income. Calculation of recoverable amount The recoverable amount is the greater of the assets’ fair value less cost to sell or value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-–tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, the recoverable amount is determined for the cash-– generating unit to which the asset belongs. Reversals of impairment An impairment loss in respect of financial assets is reversed if subsequent increase in recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was recognized as an expense in the statement of profit or loss and other comprehensive income. An impairment loss in respect of goodwill is not reversed. Impairment losses recognized in prior periods in respect of other non-–financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, as if no impairment loss had been recognized.

Impairment of assets. The carrying amounts of the Company’s equipment and exploration and evaluation assets are reviewed at each the reporting period date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated. For goodwill and customer relationship, of the recoverable amount asset is estimated each year at in order to determine the same timeextent of the impairment loss. An impairment loss is recognized whenever the carrying amount of an asset or its cash- cash generating unit exceeds its recoverable amount. The impairment loss is Impairment losses are recognized as expense in the statements statement of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive incomeloss. Calculation of recoverable amount The recoverable amount of assets is the greater of the assets’ an asset’s fair value less cost to sell or and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects the current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, the recoverable amount is determined for the cash-generating unit to which the asset belongs. Reversals of impairment An impairment loss in respect of financial assets is reversed if subsequent increase in recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was recognized as an expense in the statement of profit or loss and other comprehensive income. An impairment loss in respect of goodwill is not reversed. Impairment losses recognized in prior periods in respect of other non-financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is only reversed only to the extent if there is an indication that the asset’s carrying impairment loss may no longer exist and there has been a change in the estimates used to determine the recoverable amount, however, not to an amount does not exceed higher than the carrying amount that would have been determined, net of depreciation or amortization, as if determined had no impairment loss had been recognizedrecognized in previous years. Assets that have an indefinite useful life are not subject to amortization and are tested annually for impairment. Cash and cash equivalents Cash and cash equivalents include cash on hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less, and bank overdrafts.

Impairment of assets. The At each reporting date, the company reviews the carrying amounts of the Company’s its tangible assets are reviewed at each the reporting period date to determine whether there is any indication of impairmentthat those assets have suffered an impairment loss. If any such indication exists, the asset’s recoverable amount of the asset is estimatedestimated in order to determine the extent of the impairment loss (if any). For goodwill and customer relationshipWhere the asset does not generate cash flows that are independent from other assets, the company estimates the recoverable amount is estimated each year at of the same time. An impairment loss is recognized whenever the carrying amount of an asset or its cash- cash-generating unit exceeds its recoverable amountto which the asset belongs. The impairment loss is recognized as expense in the statements of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive income. Calculation of recoverable amount The recoverable Recoverable amount is the greater higher of the assets’ fair value less cost costs to sell or and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the assetasset for which the estimates of future cash flows have not been adjusted. For an asset that does not generate cash inflows largely independent of those from other assets, If the recoverable amount is determined for the of an asset (or cash-generating unit unit) is estimated to which be less than its carrying amount, the carrying amount of the asset belongs. Reversals of impairment An impairment loss in respect of financial assets (cash-generating unit) is reversed if subsequent increase in reduced to its recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was recognized as an expense in the statement of profit or loss and other comprehensive income. An impairment loss in respect of goodwill is not reversed. Impairment losses recognized in prior periods in respect of other non-financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer existsamount. An impairment loss is reversed recognised in the statement of comprehensive income immediately, unless the relevant asset is carried at fair value, in which case the impairment loss is treated as a revaluation decrease. Where an impairment loss subsequently reverses, the carrying amount of the asset (cash-generating unit) is increased to the revised estimate of its recoverable amount, but only to the extent that the asset’s increased carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, as if determined had no impairment loss had been recognized.recognised for the asset (cash-generating unit) in prior years. A reversal of an impairment loss is recognised in the statement of comprehensive income immediately, unless the relevant asset is carried at fair value, in which case the reversal of the impairment loss is treated as a revaluation increase. RBS AUSTRALIA LEASING PTY LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL PERIOD ENDED 31 DECEMBER 2010

Impairment of assets. The carrying amounts of the Company’s and its subsidiaries’s assets are reviewed at each the reporting period date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated. For goodwill and customer relationship, the recoverable amount is estimated each year at the same time. An impairment loss is recognized whenever the carrying amount of an asset or its cash- cash– generating unit exceeds its recoverable amount. The impairment loss is recognized as expense in the statements of profit or loss and other comprehensive income unless it reverses a previous revaluation credited to equity and subsequently occurs impairment, in which case it is charged to statement of other comprehensive income. Calculation of recoverable caıcuıation or recoveraaıe amount The recoverable amount is the greater of the assets’ fair value less cost to sell or value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-–tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, the recoverable amount is determined for the cash-– generating unit to which the asset belongs. Reversals of reversaıs or impairment An impairment loss in respect of financial assets is reversed if subsequent increase in recoverable amount and the recoverable amount can be related objectively to an event after the impairment loss was recognized as an expense in the statement of profit or loss and other comprehensive income. An impairment loss in respect of goodwill is not reversed. Impairment losses recognized in prior periods in respect of other non-–financial assets are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, as if no impairment loss had been recognized.