At the end of 2021 Thomson did not have any PP\&E. On Jan 1, 2022. Thomson purchased the following assets. Details for setting up depreciation schedules are summarized below: Nrummeryo estmateu tutan production capacity is 50,000 units of cars. During 2022, Thomson produced a total of 5,000 units using the Machinery. On Dec 31, 2022, sudden changes in the operational and market conditions indicate that the sum of undiscounted future cash flows from the factory is now estimated at $500,000. The fair value of the Factory as of the date is $400,000. After recognizing depreciation expense for 2022 as scheduled, Thomson wrote-off the factory. The remaining service life is reduced to additional 6 years and the residual value is updated to $70,000. Depreciation for the factory using these new parameters will start rom 2023 with the double-declining method. uring 2023 . Thomson produced a total of 10,000 units using the Machinery