Question
At the end of 2020, Swifty Corporation owns a licence with a remaining life of 11 years and a carrying amount of $521,000. Swifty expects
At the end of 2020, Swifty Corporation owns a licence with a remaining life of 11 years and a carrying amount of $521,000. Swifty expects undiscounted future cash flows from this licence to total $525,700. The licences fair value is $416,900 and disposal costs are estimated to be nil. The licences discounted cash flows (that is, value in use) are estimated to be $461,200. Swifty prepares financial statements in accordance with ASPE.
Determine if the licence is impaired at the end of 2020. Prepare any related entry that is necessary.
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Data Communications Network Auditing How To Save Hundreds Of Thousands Of Dollars And Still Improve Network Response Time Network Performance And Network Availability
Authors: Bruce Griffis
1st Edition
0936648937, 978-0936648934
