Exercise 11-30 (Algo) Impairment; property, plant, and equipment [LO11-8] General Optic Corporation operates a manufacturing plant in Arizona. Due to a significant decline in demand for the product manufactured at the Arizona site, an impairment test is deemed appropriate. Management has acquired the following information for the assets at the plant: Cost Accumulated depreciation $ 48.5 million $ 15.8 million General's estimate of the total cash flows to be generated by selling the products manufactured at its Arizona plant, not discounted to present value $ 18.2 million The fair value of the Arizona plant is estimated to be $19 million. Required: 1. Determine the amount of impairment loss. 2. If a loss is indicated, prepare the entry to record the loss. 3. & 4. Determine the amount of impairment loss assuming that the estimated undiscounted sum of future cash flows is (3) $19 million instead of $18.2 million and (4) $32.95 million instead of $18.2 million. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 and 4 Determine the amount of impairment loss. Note: Enter your answer in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). Impairment loss million < Req 1 Req 2 > Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 and 4 If a loss is indicated, prepare the entry to record the loss. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). View transaction list Journal entry worksheet 1 If a loss is indicated, prepare the entry to record the loss. Note: Enter debits before credits. Event 1 General Journal Debit Credit Record entry Clear entry View general journal Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 and 4 Determine the amount of impairment loss assuming that the estimated undiscounted sum of future cash flows is (3) $19 million instead of $18.2 million and (4) $32.95 million instead of $18.2 million. Note: Enter your answer in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). 3. Impairment loss 4. Impairment loss million million