Question 2 On January 1, 2014 XYZ Company. Purchased a building for OMR 6,000,000. Its estimated useful life at that date was 20 years and the company uses straight line depreciation method. On December 31, 2019 the government embarked on a plan to construct a fly-over adjacent to the building and the related installation reduced the access to the building thereby decreasing the value of the building. The company estimated that it can sell the company for OMR 3,000,000 but it must incur costs of OMR 150,000. Alternatively, it if continues to use it the present value of the net cash flows the building will help in generating is OMR 3,600,000 million In 2020 the government constructed a service road parallel to the high way which improved the recoverable amount to OMR 4,200,000. Depreciation for 2020 was OMR 360,000. You are required to: A. Discuss the various reasons for the impairment of Assets and Identify the specific reason suitable for the above scenario. (150 words) (5 marks) B. Calculate the impairment loss (if any) and pass necessary journal entries by specify the recognition in the accounts of such impairment as at 31st Dec 2019 applying IAS 36. Give step by step answer. (10 Marks) (Total 15 Marks)