Assessment 1. Simolina Company purchased an equipment on June 1, 2017 at a cost of $89,000.It is estimated that the machine will have a $5,000 salvage value at the end of its service life. Its service life is estimated at 7 years, its total working hours are estimated at $42,000, and its its total production is estimated at 525,000 units. During 2018, the machine was operated 6,000 hours and produced 48,000 units. 2. Presented below is information related to equipment owned by Sidma Company at December 31, 2018 Cost S45,00,000 Accumulated Depreciation to date 5,00,000 Expected future net cashflows 35,00,000 Fair value 24,00,000 Assume that the company will continue to use the asset in the future. At December 31, 2018, the company has a remaining useful life of 4 years. Instructions: a) Prepare the journal entry (if any) to record the impairment of the asset at December 31, 2018. b) Prepare the journal entry to record depreciation expense for 2019. c) The fair value of the equipment at December 31, 2019 is $25,50,000. Prepare the journal entry (if any) necessary to record the increase in value