1 (20 MARKS) A. Teguh Bestari Bhd is a 20-years-old manufacturing firm. The oldest manufacturing equipment in the company is still functional. The equipment was purchased for RM1,200,000 in cash ten years ago. The equipment has a 20-year useful life. Teguh Bestari has been facing a decline in the economic cycle for the previous two years due to Pandemic Covid-19. As a result, Teguh Bestari has opted to assess the manufacturing equipment for damage. Hence, Teguh Bestari is expected to generate RM300,000 cash per annum in the Year 2022 and 2023. Meanwhile, the equipment's fair market value is evaluated at RM530,000 with RM30,000 costs of disposal. All manufacturing equipment is depreciated using the straight-line method and the pre-tax cost of capital is 10% by Teguh Bestari. The financial year-end for Teguh Bestari is 31 December 2021. (Present value of Year 1@ 10% rate is 0.909 and Year 2@10% rate is 0.826) Required: a. Calculate the recoverable amount and determine the value of impairment loss of the manufacturing equipment under MFRS 136 Impairment of Assets on 31 December 2021. (7 marks) b. c. Assume that now the net fair value of the equipment is determined at RM1,000,000. Explain how your answer to part (a) now would differ if there is a reversal of impairment for next year. (2 marks) Based on MFR 116 Property, Plant and Equipment identify THREE (3) determinations of the useful life of an asset