1. A company owns a piece of equipment with a net cost (book value) of $30,000 (cost of $50,000 net of accumulated depreciation of $20,000). There are indicators that this equipment is impaired. The expected net future undiscounted cash flows are $31,000. The expected net future discounted cash flows are $28,000. The fair value of the equipment is $25,000. What is the impairment loss for the company using US GAAP and IFRS? (A) $0 for US GAAP and $2,000 for IFRS (B) $2,000 for US GAAP and $0 for IFRS (C) $2,000 for US GAAP and $5,000 for IFRS (D) $5,000 for US GAAP and $2,000 for IFRS (E) $0 for US GAAP and $5,000 for IFRS

2. Using US GAAP, finite lived intangible assets must be reviewed for impairment (A) annually. (B) whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. (C) periodically but US GAAP does not specifically the time period (D) None of these is correct.