Ramshare Company acquired equipment at the beginning of 2015 at a cost of $135,000. The equipment has a five-year life with no expected salvage value and is depreciated on a straight-line basis. At December 31, 2015, Ramshare compiled the following information related to this equipment:

Expected future cash flows from use of the equipment	$ 116,000
Present value of expected future cash flows from use of the equipment	100,000
Fair value (net selling price), less costs to dispose	96,600

a.

Determine the amount at which Ramshare should carry this equipment on its December 31, 2015, balance sheet and the amount, if any, that it should report in net income related to this inventory using (1) U.S. GAAP and (2) IFRS. (Input all values as positive numbers.)

Depreciation (GAAP) (IFRS)

Impairment Loss (GAAP) (IFRS)

Equipment, Dec.31, 2105 (GAAP) (IFRS)

b.

Determine the adjustments that Ramshare would make in 2015 and 2016 to reconcile net income and stockholders' equity under U.S. GAAP to IFRS. Ignore the possibility of any additional impairment at the end of 2014. (If there is no reconciliation adjustment select "No adjustment is required to". Input all values as positive numbers.) 2015 Adjustments ____________ GAAP Net Income ________ ____________GAAP Stockholders' Equity_______ 2016 Adjustments ____________GAAP Net Income _______ __________GAAP Syockholderes' Equity__________