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1: Data Table Plant and Equipment Asset Group Cost 4,230,000 (2,115,000) Less: Accumulated Depreciation/Amortization 2,115,00

1. On December 31, 2018, Upton Enterprises must measure its impairment loss for plant and equipment. Upton has determined tha

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Answer #1

Impairment loss=Carrying value- Higher of ( Present value of cash flows or Fair value)

=2115000-higher of ( 1399071 or 1236000)

=2115000- 1399071 = 715929

Impairment loss= 715929

Particulars Debit Credit
Impairment loss 715929
Plant and Equipment asset group 715929
( being impairment loss recognised)

Depreciation after impairment= 2115000-715929 = 1399071 x 50% = 699535.5

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