The management of Sohar Aluminum was discussing whether New Plant should be written off as a charge to current operations because of obsolescence. This New Plant has a cost of $450,000 with depreciation to date of $200,000 as of December 31, 2019. On December 31, 2019, management projected the present value of future net cash flows from this New Plant to be $150,000 and its fair value less cost of disposal to be $140,000. The company intends to use this New Plant in the future. The remaining useful life of the New Plant is 4 years.

a. Prepare the journal entry (if any) to record the impairment at December 31, 2019. b. Where should the gain or loss (if any) on the write-down be reported in the income statement? c. At December 31, 2020, the New Plant's recoverable amount is $135,000. Prepare the journal entry (if any).