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Listless Company acquired equipment on January 1, 2019 for P5,000,000. The equipment had a 10-year useful life and no residual value. Cm December 31, 2020,
Listless Company acquired equipment on January 1, 2019 for P5,000,000. The equipment had a 10-year useful life and no residual value. Cm December 31, 2020, the following information was obtained:
Expected value of undiscounted cash flows 3,600,000
Fair value estimated with in-use premise3,700,000
Fair value estimated with in-exchange premise3,500,000
What amount should be recognized as impairment loss for 2020?
A. 0B. 300,000C. 400,000D. 500,000
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