The information that follows relates to the assets of XYZ Company as at December 31, 2020(their year-end). XYZ Company has the following asset that has been identified as needing to be tested for impairment

The information that follows relates to the assets of XYZ Company as at December 31, 2020 (their year-end). XYZ Company has the following asset that has been identified as needing to be tested for impairment. Equipment Cost $ 100.000 Accumulated depreciation S 58,000 Undiscounted future cash flows S 44,000 Discounted future cash flows (value in use) S 33,000 Fair value $ 34,000 Costs to sell $ 1,500 Remaining useful life in years 5 NBV = ??? $ 42,000 Undiscounted CF $ 44,000 Instructions: 1. Assume Canadian Company follows ASPE: a) Provide any required entries at December 31, 2020 regarding impairment for the Equipment Assume depreciation for 2020 has already been recorded. If no entry is required comment on why. Supporting rough work must be shown for part marks. Date Description Dr Cr b) Assume the fair value of the equipment is $33,000 at the end of 2021. Provide any required journal entry to recover impairment at this date. If no entry is required comment on why. Show supporting rough work, if any, for part marks. Date Description Dr Cr