Accounting for Impairment Loss on AFS Investments Determine the amount of impairment loss to recognize in net income under the following three separate scenarios. In all three cases, the company does not intend to sell the AFS investment and does not believe it is more likely than not that it will be required to sell the investment before recovery of any unrealized loss. Assume that the company has already adjusted the AFS investments to fair through FV-OCI. Note: Do not use negative signs with your answers. Scenario Fair value 1 2 3 $500,000 $600,000 $450,000 Amortized cost 560,000 560,000 560,000 Expected credit loss 80,000 80,000 80,000 Impairment Loss 60,000 0 110,000 x