The statement of financial position of Corona Ltd shows total assets as at 30 June 2022 which include Cash $87,000, Inventories $65 000, Furniture $57 000, Office Equipment $465 000 (Accumulated depreciation $97 000), Plant $400 000 (Accumulated depreciation $90 000) and Land $7 000.

 

Corona Ltd calculates its assets' the Fair Value less Cost of Disposal and Value in Use are $215,000 and $300,000, respectively.

 

Required:

Determine if the assets of Corona Ltd is impaired and provide the necessary journal entries