Question
Wildhorse Company owns equipment that cost $1,071,000and has accumulated depreciation of $452,200. The expected future net cash flows from the use of the asset are
Wildhorse Company owns equipment that cost $1,071,000and has accumulated depreciation of $452,200. The expected future net cash flows from the use of the asset are expected to be $595,000. The fair value of the equipment is $476,000.
Prepare the journal entry, if any, to record the impairment loss.
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Accounting Information Systems
Authors: Ulric J. Gelinas, Richard B. Dull
10th edition
9781305176218, 113393594X, 1305176219, 978-1133935940
