Tank Top Menswear, Ltd$.$ reported net plant and equipment of $$1,600,000.$ These assets cost $$2,500,000$ with accumulated depreciation taken to date of

$$900,000.$ Based on recently assessed negative evidence, Tank Top's management concluded that its plant assets might be impaired. Tank Top estimates

total expected future cash flows from the use of the assets as only $$1,300,000$ and appraises the fair value of the assets at $$1,000,000.$ Are the company's

assets impaired? If there is an impairment loss, prepare the journal entry necessary to record the impairment.

Conduct the impairment test for plant and equipment at the end of the year to determine whether Tank Top Menswear's assets are impaired.

Now, complete step $2$ of the impairment test for plant and equipment. Select whether step $2$ of the test is required on the first line. $($If the test is

not required, leave all remaining cells in that column blank. However, if the test is required, but no impairment loss exists, then leave only the impairment

loss input cell blank in that column.$)$Tank Top Menswear, Ltd$.$ reported net plant and equipment of $$1,600,000.$ These assets cost $$2,500,000$ with accumulated depreciation taken to date of

$$900,000.$ Based on recently assessed negative evidence, Tank Top's management concluded that its plant assets might be impaired. Tank Top estimates

total expected future cash flows from the use of the assets as only $$1,300,000$ and appraises the fair value of the assets at $$1,000,000.$ Are the company's

assets impaired? If there is an impairment loss, prepare the journal entry necessary to record the impairment.

Conduct the impairment test for plant and equipment at the end of the year to determine whether Tank Top Menswear's assets are impaired.

Now, complete step $2$ of the impairment test for plant and equipment. Select whether step $2$ of the test is required on the first line. $($If the test is

not required, leave all remaining cells in that column blank. However, if the test is required, but no impairment loss exists, then leave only the impairment

loss input cell blank in that column.$)$