Example of GW Impairment - Carlos Presented below is info related to the Carlos Division of Santana Inc. CARLOS DIVISION NET ASSETS ASOF DECEMBER 31, 20X4 IN MILLIONS) Cash Accounts receivable $ 50 200 Property, plant, and equipment (net) 2.600 Goodwill Less Notes payable 200 (2,700) The purpose of the Carlos Division is to develop a nuclear-powered aircraft. If successful, traveling delays associated with refueling could be substantially reduced. Many other benefits would also occur. To date, management has not had much success and is deciding whether a write-down at this time is appropriate Management estimated its future net cash flows from the project to be $400 million. Management has also received an offer to purchase the division for $335 million. All identifiable assets and liabilities book and fair value amounts are the same Prepare the journal entry (if any) to record the ithpairment at December 31, 20X4 a) 15 At December 31, 20X5, it is estimated that the division's fair value increased to $345 million. Prepare the journal entry (if any) to record this increase. b)