Note 1Summary of Accounting Policies Property, Plant and Equipment We review long-lived assets for impairment when circumstances indicate the carrying amount of an asset may not be recoverable based on the undiscounted future cash flows of the asset. If the carrying amount of the asset is determined not to be recoverable, a write down to fair value is recorded. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as appropriate. Cost of property and equipment (beginning of year) Cost of property and equipment (end of year) Capital expenditures during the year Accumulated depreciation (beginning of year) Accumulated depreciation (end of year) Depreciation expense during the year Cost of property and equipment sold during the year Accumulated depreciation on property sold Cash received on property sold Dollars in Millions $ 41,109 43,040 2,881 21,740 22,911 1,978 950 807 119 Required: 1. Reconstruct the journal entry for the disposal of property and equipment during the year. 2. Compute the amount of property and equipment that United Parcel wrote off as impaired during the year, if any. (Hint: Set up T- accounts.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the amount of property and equipment that United Parcel wrote off as impaired during the year, if any. (Hint: Set up T-accounts.) (Enter your answer in millions.) Impairment loss million