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Question 12 1 pts Synthia, Inc., a clothing manufacturer, purchased a sewing machine for $10,000 on July 1, year 2. The machine had a ten-year
Question 12 1 pts Synthia, Inc., a clothing manufacturer, purchased a sewing machine for $10,000 on July 1, year 2. The machine had a ten-year life, a $500 salvage value, and was depreciated using the straight-line method. On December 31, year 4, a test for impairment indicates that the undiscounted cash flows from the sewing machine are less than its carrying value. The machine's actual fair value on December 31, year 4 is $3,000. What is Synthia's loss on impairment on December 31, year 4? O $6,500 0 $4,750 0 $4,625 0 $4,150
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