Sunland Company has equipment with a carrying amount of $2600000. The expected future net cash flows from the equipment are $2640000, and its fair value is $2043000. The equipment is expected to be used in operations in the future. What amount (if any) should Sunland report as an impairment to its equipment?

a. $40000.

b. No impairment should be reported.

c. $597000.

d. $557000.