Tariq has a year end of 30 November and owns an item of plant which it uses to manufacture steel girders. The plant cost $150,000 on 1 December 20X5 and at that date had an estimated useful life of five years.

A review of the plant on 1 June 20X8 concluded that its fair value was $105,000 and that it would last for a further three and a half years.

Tariq uses the revaluation model for its plant, but does not make an annual transfer from the revaluation surplus to retained earnings in respect of the additional depreciation charged.

On 30 November 20X8, Tariq was informed by a major customer that it would no longer be placing orders with Tariq. As a result Tariq reviewed its forecasts and estimated that net cash inflows earned from the plant for the next three years would be:

Year ended 30 November 20X9 44,000

20Y0 36,000

20Y1 40,000

Tariqs cost of capital is 8% which results in the following discount factors:

• 20X9 0.93
• 20Y0 0.86
• 20Y1 0.79

Tariq can not sale the plant on the market.

Tariq also owns Rasa, a 100% subsidiary, which is treated as a cash generating unit. On 30 November 20X8, an impairment review of Rasa revealed a recoverable value of $850.000 .

The carrying amounts of the assets of Rasa immediately before the impairment were:

• Goodwill 200,000
• Factory building 400,000
• Plant 350,000
• Receivables and cash 250,000

Fill in the blanks:

1. Prior the impairment, the carrying amount of Tariqs plant at 30 November 20X8 si ___________________ and the balance on the revaluation surplus at 30 November 20X8 is _________________

2. The value in use of Tariqs plant as at 30 November 20X8 is __________________________________.

3. The impairment of Cash generating unit is _______________________________________.

4. The carrying amount of factory after the impairment allocation is _______________________.