S are among the external causes for entities to test the value of their assets for doable impairment (International Accounting Standard Board 2008, No. 36). Their occurrence, in turn, can be a factor of volatility in the prices of monetary instruments, which has repeatedly been the subject of analysis by authors dealing with the subject of capital markets analysis in accounting (amongst other folks, Gu and Lev 2011; Knauer and Wohrmann 2016; Cheng et al. 2017; Lisicki 2021). These TPX-0131 Biological Activity researchers made an attempt to confirm the industry reaction for the disclosure of info on the impairment of assets (IoA). In most circumstances, the outcomes of their study indicated a short-term unfavorable reaction from investors (Knauer and Wohrmann 2016). Having said that, it was possible to seek out instances in which the marketplace discounted the news concerning the write-off differently in the longer term (Gu and Lev 2011). This reaction was also varied as a result of individual determinants characterizing the issuers (Cheng et al. 2017). ��-Amanitin Cancer Nevertheless, they did not concentrate on the general economic circumstances for conducting the analyzes. The study contribution towards the state of understanding is definitely an attempt to confirm how the market place will react to such details in a circumstance when the specter of a significant economic crisis hangs more than it, which was triggered by the pandemic of COVID-19 (Platje et al. 2020). The primary objective of this paper is to show how the market will react to facts about IoA within a situation exactly where the prices of securities have currently discounted a lot ofRisks 2021, 9,3 ofnegative data because of the existence of unfavorable consequences from the COVID-19 pandemic. Such a reaction could possibly be diverse from that observed in earlier research. To confirm this goal, the author adopted a investigation hypothesis indicating that submitting information and facts about the impairment in the company’s assets throughout the COVID19 pandemic initially year (2020) benefits in negative abnormal returns (AR) of their share costs in adjacent days. The negative reaction of investors about IoA was a dominant position inside the previous abovementioned analysis. The investigation undertaken in this post helps recognize the guidelines of behaviour (within the brief term) no matter if the reaction of investors on updating the company’s assets in crisis circumstances is various from their reaction in occasions of prosperity. The main hypothesis on the study is going to be verified employing the occasion study methodology developed by Fama et al. (1969). The research intends to confirm whether or not the amount of accomplished AR occurring around the days adjacent for the announcement with regards to IoA is substantially distinctive from the typical level. The topic in the post might be all current reports about IoA submitted by issuers listed within the key broad marketplace index WIG on the Warsaw Stock Exchange (WSE) in occasions in the COVID-19 pandemic (year 2020). Benefits from 2020 might be discussed with other, equivalent analysis and with benefits obtained from preceding years from the WSE. two. Impairment of Assets and Market Reaction–Literature Overview The first from the studies examining the influence of IoA around the response of investors took place already within the 1980s by Robust and Meyer (1987). The researchers divided their study into six sections. Within the first two, they focused on the considerable flexibility of options included in accounting requirements that permit business managers to become active inside the field of write-offs and capital budgeting inside the aspect of IoA. The third aspect described the financial benefits of co.