(Impairment) Presented below in information related to equipment owned by Pujols Company at December 31, 2015

Cost	9000000
Accumulated depreciation to date	1000000
Value-in-use	7000000
Fair value less cost of diposal	4400000

Assume that Pujols will continue to use this asset in the future. As of December 31,2015, the equipment has a remaining useful life of 4 years

1) Prepare the jornal entry (if any) to record the impairment of the asset at December 31,2015. 2) Prepare the journal entry to record depreciation expense for 2016. 3) The recoverable amount of the equipment at December 31, 2016, is 6000000. Prepare the journal entry(if any) necessary to record this increase.