In a recent 10-K report, Speedy Delivery Service states it "is the world's largest package delivery company, a leader in the U.S. less- than-truckload industry, and the premier provider of global supply chain management solutions." The following note and data were reported: Note 1Summary of Accounting Policies Property, Plant and Equipment We review long-lived assets for impairment when circumstances indicate the carrying amount of an asset may not be recoverable based on the undiscounted future cash flows of the asset. If the carrying amount of the asset is determined not to be recoverable, a write down to fair value is recorded. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as appropriate. Dollars in Millions Cost of property and equipment (beginning of year) $ 39,863 Cost of property and equipment (end of year) 41,500 Capital expenditures during the year Accumulated depreciation (beginning of year) 21,390 Accumulated depreciation (end of year) 22,547 Depreciation expense during the year 1,943 Cost of property and equipment sold during the year Accumulated depreciation on property sold Cash received on property sold 2,517 880 786 77 Required: 1. Reconstruct the journal entry for the disposal of property and equipment during the year. 2. Compute the amount of property and equipment that United Parcel wrote off as impaired during the year, if any. (Hint: Set up T- accounts.) Required 1 Required 2 Reconstruct the journal entry for the disposal of property and equipment during the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet