Complete the sentence. Impairment of capital assets is:

Multiple Choice

None of the other alternatives are correct

When the fair value of the net assets exceeds the carrying value of the assets plus liabilities

When capital assets have been not amortized appropriately such that their fair value exceeds their carrying value

When the fair value of the net assets exceeds the equity or the retained earnings

When the fair value of the net assets exceeds the carrying value of the net assets