Impairment of patent rights How to make provision for impairment of inventory products produced under patent rights

1. Provision for impairment of patent rights, the entries are as follows:

Debit: asset impairment loss

Credit: impairment provision for intangible assets

2. Provision for impairment of inventory goods produced under patent rights, the entries are as follows:

Debit: Asset impairment provision

Credit: Inventory depreciation provision

These two impairments are separate. One is the impairment of intangible assets and the other is the impairment of inventories. Don’t think about it too complicated.