National Semiconductor Limited (NSL) is a Multinational electronics manufacturer with facilities in many countries. The company is public and listed on the Toronto Stock Exchange (TSX). In the past year, prices of the electronics have been decreasing steadily. This has indirectly made the value of their manufacturing facilities decrease in value from the prior year. The company's Canadian operations are primarily located in Central Canada.

NSL's economist thinks that the prices of their electronics will eventually increase. However, NSL has decided to write down its manufacturing facilities as part of Faithful representation. To this end, the company needs a reasonable estimate for their current value. Upper management would like to have any decrease in valuation to not be in "Other Comprehensive Income" because they feel many users do not take that section seriously.

Required:

Adopt the role of NSL's Chief Financial Officer and discuss the options available for valuation, including how to measure for purposes of financial reporting. Make sure to give accounting reasons for your eventual choice of measurement and reporting of the write-down on the statement of comprehensive income.