why is the impairment loss for intangibles 5000?

Plant Question 1 Robin Ltd reported the following information in its statement of financial position at 30 June 2022. $325 000 Accumulated depreciation - plant (75000) Intangible assets 150 000 Accumulated amortisation (50000) Land 150 000 Total non-current assets 500 000 Cash 25 000 Inventories 90 000 Total current assets 115 000 Total assets 615 000 Liabilities 74 000 Net assets $540 000 At 30 June 2022, Robin Ltd analysed the internal and external sources of information that would indicate deterioration in the worth of its assets. It determined that there were indications of impairment. Robin Ltd calculated the recoverable amount of the assets to be $490 000. Required Provide the journal entry for any impairment loss at 30 June 2022. Question 1 Solution Carrying amount of assets $615 000 Recoverable amount $490 000 Impairment loss $125 000 Assuming the inventory is carried at the lower of cost and net realisable value, the allocation of the impairment loss will not involve either cash or inventory. The allocation of the impairment loss is as follows. Proportion Plant Intangibles Land Carrying amount $ 250 000 100 000 150 000 500 000 25/50 10/50 15/50 Allocation Net carrying of loss amount $ $ 62 500 132 500 25 000 75 000 37 500 112 500 125 000 Dr The journal entry to record the impairment loss is: Impairment loss Land Accum. deprec. and impairment - plant Accum. amortis, and impairment - intangibles (Allocation of impairment loss) 125 000 37 500 Cr Cr Cr 62 500 5 000