Wildhorse Company has a December 31 year end and uses straight-line depreciation for all property, plant, and equipment. On July 1 , 2022 , the company purchased equipment for $570,000. The equipment had an expected useful life of 10 years and no residual value. The company uses the nearest month method for partial year depreciation. On December 31, 2023, after recording annual depreciation, Wildhorse reviewed its equipment for possible impairment. Wildhorse determined that the equipment has a recoverable amount of $231,200. It is not known if the recoverable amount will increase or decrease in the future. (a) Your answer is correct. Prepare journal entries to record the purchase of the asset on July 1, 2022, and to record depreciation expense on December 31, 2022, and December 31, 2023. (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. Record journal entries in the order presented in the problem.) Determine if there is an impairment loss at December 31, 2023. Impairment loss $ Prepare a journal entry to record it. (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 O for the amounts. List debit entry before credit entry.)