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Jailbreak Pty Ltd bought a machine for $650,000 cash on 1 October 2012. At this time, the machinery has an expected useful life of 10
Jailbreak Pty Ltd bought a machine for $650,000 cash on 1 October 2012. At this time, the machinery has an expected useful life of 10 years and an expected residual value of $50,000.Jailbreak uses the cost method to account for the machinery, and the depreciation is done on a straight-line basis. As 30 June 2013, Jailbreak test the machinery for impairment testing and find that the machinerys fair value less cost sell to be $456,000 and its value in use to be $435,000. What is the journal entry on 30 June 2013?
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