KMH Bhd purchased a 25-storey building as an investment property on 1 January 2019 for RM30 million. The legal cost and other incidental costs relating to the purchase of the building were RM8 million. 15 floors of the building are rented out to its other subsidiaries and 7 floors are rented out to outsider retailers, while the balance is used by KMH Bhd as its head office. The portions of the building that were used as its head office could not be sold separately from the portions that were rented out to its subsidiaries and outside retailers. The independent valuer estimates that the useful life of the building is 20 years and its residual value is RM10 million. KMH Bhd uses the cost model to account for its investment property and also uses the straight-line method to depreciate its property, plant, and equipment. However, the outbreak of the world health crisis, Covid-19 in the year 2020 has caused massive disruption to the economic conditions for many companies and an increase in economic uncertainty for others. Tenants who have been forced to suspend operations were not able to pay rent in the near term and asked to renegotiate a lower rent. Following these unfavourable situations, KMH Bhd decided to provide for impairment loss on the building for the year ended 31 December 2020. The management of KMH Bhd estimated the fair value less cost to sell of the building on 31 December 2020 to be RM32 million while the projected cash inflows for the remaining useful life of the building are as follows: Year Cash flow 2021 RM9,600,000 2022 RM8,800,000 Year Discount factor at 10% 2023 RM7,000,000 KMH Bhd.'s incremental borrowing rate was 10%. The table below presents the present value for single sums, where i interest and n = years is given below: 1 2 3 0.9091 0.8264 0.7513 On 1 January 2021, the tenancy of the building with its subsidiaries and outside retailers was terminated and KMH Bhd has decided to occupy all 25 floors of the building as its administrative office. Required: Determine whether the building has been impaired under the MFRS 136 Impairment of Assets as at 31 December 2020.