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Blossom Industries has several assets as part of a cash, generating unit that have limited use due to changing market trends and declining demand for

Blossom Industries has several assets as part of a cash, generating unit that have limited use due to changing market trends and
declining demand for the product produced by these assets. Management estimates that the carrying value of these assets is $85700
and the assets have no other use. The company intends on producing this product for three more years prior to disposing of the assets.Blossom Industries has several assets as part of a cash, generating unit that have limited use due to changing market trends and
declining demand for the product produced by these assets. Management estimates that the carrying value of these assets is $85700
and the assets have no other use. The company intends on producing this product for three more years prior to disposing of the assets.
The net future cash flows related to the product production and sale of the equipment is $87800, while the present value of the cash
flows is $82450. The fair value less the cost of disposal of the assets is estimated at $71100. What is the value of the impairment lose
under the cost recovery impairment model?
$3250
$4930
$14600
$0, there is no impairment loss
The net future cash flows related to the product production and sale of the equipment is $87800, while the present value of the cash
flows is $82450. The fair value less the cost of disposal of the assets is estimated at $71100. What is the value of the impairment lose
under the cost recovery impairment model?
$3250
$4930
$14600
$0, there is no impairment loss
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