Orca Exploration Group Inc. explores for and develops natural gas properties in Tanzania. Africa. The following note and information were reported in a recent annual report:

At each balance sheet date, the Company reviews the carrying amounts of its property, plant, and equipment and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. Individual assets are grouped together as a cash-generating unit for impairment assessment purposes at the lowest level at which there are identifiable cash flows that are independent from other group assets. In the case of exploration and evaluation assets, this will normally be at the Company's field level. If any such indication of impairment exists, the Company makes an estimate of its recoverable amount. The recoverable amount is the higher of fair value less costs to sell and value in use. Where the carrying amount of a cash-generating unit exceeds its recoverable amount, the cash-generating unit is considered impaired and is written down to its recoverable amount. In assessing the value in use, the estimated future cash flows are adjusted for the risks specific to the cash-generating unit and are discounted to their present value with a discount rate that reflects the current market indicators. 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 so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the cash-generating unit in prior years. A reversal of an impairment loss is recognized as income immediately.

Required:
1. Reconstruct the journal entry for the disposal of equipment during the year.
2. Compute the amount of property, plant, and equipment that Orca Exploration Group wrote off as impaired during the year. (Hint: Set up T-accounts.)

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Cost of property, plant, and equipment (beginning of year) Cost of property, plant, and equipment (end of year) Capital expenditures during the year Accumulated depreciation (beginning of year) Accumulated depreciation (end of year) Depreciation expense during the year Cost of equipment sold during the year Accumulated depreciation on equipment sold Cash received on equipment sold Dollars in millions $68,682 70,763 4,453 7,705 12,380 4,792 207 117 110