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Presented below is net asset information related to the Teal Mountain Division of Santana, Inc. Presented below is net asset information related to the Teal
Presented below is net asset information related to the Teal Mountain Division of Santana, Inc.
Presented below is net asset information related to the Teal Mountain Division of Santana, Inc TEAL MOUNTAIN DIVISION NET ASSETS AS OF DECEMBER 31, 2017 (IN MILLIONS) Cash Accounts receivable Property, plant, and equipment (net) Goodwill Less: Notes payable Net assets $60 209 2,604 210 (2,599) $484 The purpose of the Teal Mountain Division is to develop a nuclear-powered aircraft. If successful, traveling delays associated with refueling could be substantially reduced. Many other benefits would also occur. To date, management has not had much success and is deciding whether a write-down at this time is appropriate. Management estimated its future net cash flows from the project to be $415 million. Management has also received an offer to purchase the division for $330 million. All identifiable assets' and liabilities' book and fair value amounts are the same Prepare the journal entry to record the impairment at December 31, 2017. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit Attempts: 0 of 3 used The parts of this question must be completed in order. This part will be available when you complete the part aboveStep by Step Solution
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