Innovative Inc. has a piece of equipment with a carrying amount of $200,500. Technology has changed, indicating that the machine may be impaired. A new machine with updated technology could be purchased for $367,000. A used machine of similar vintage is listed on-line for $177,000. The estimated discounted cash flows from continuing to use the asset are $165,000. The undiscounted cash flows from the use of the asset are $197,000. The estimated value if the company sold the asset less commission costs is $172,000. Required: 1. What is the recoverable amount? The recoverable amount is the costs to sell of fair value The recoverable amount and value in use is then compared to the carrying amount of the asset 2. What is the amount of impairment? Impairment