Question
The company provided the data of PP&E in a cash-generating unit (CGU) as follows: The units fair value less costs to sell was $25,000. The
The company provided the data of PP&E in a cash-generating unit (CGU) as follows:
The units fair value less costs to sell was $25,000. The units future cash flows was $32,000, and its present value was $28,000. The company adopted IFRS.
Required (14 marks)
1. Prepare journal entries to record impairment.
2. If the recoverable amount of Equipment C is $19,000, prepare journal entries to record impairment.
3. If the recoverable amount of Equipment C is $24,000, prepare journal entries to record impairment.
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An Environmental Audit Primer Student Guide
Authors: Velsoft Training Materials, Inc.
1st Edition
1774550393, 978-1774550397
