The information that follows relates to equipment owned by Sweet Acacia Limited at December $31,2023$:

Cost

Accumulated depreciation to date

Expected future net cash flows $($undiscounted$)$

Expected future net cash flows $($discounted$,$ value in use$)$

$$3,600,000$

$400,000$

$2,800,000$

$2,540,000$

$2,480,000$

$20,000$

Assume that Sweet Acacia will continue to use this asset in the future. As at December $31,2023,$ the equipment has a remaining useful

life of four years. Sweet Acacia uses the straight$-$line method of depreciation. Assume that Sweet Acacia is a private company that

follows ASPE.

$($c$)$

The equipment's fair value at December $31,2024,$ is $$2\mathrm{.}60$ million. Prepare the journal entry, if any, to record the increase in fair

value. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry

is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. List debit entry before credit entry.$)$

Date

Account Titles and Explanation

December

$31,2024$

Accumulated Impairment Losses $-$ Equipment

Debit

Credit