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Exercise 11-30 (Algo) Impairment; property, plant, and equipment [LO11-8] General Optic Corporation operates a manufacturing plant in Arizona. Due to a significant decline in demand for the product manufactured at the Arizona site, an impairment test is deemed appropriate. Management has acquired the following information for the assets at the plant: Cost Accumulated depreciation General's estimate of the total cash flows to be generated by selling the products manufactured at its Arizona plant, not discounted to present value The fair value of the Arizona plant is estimated to be $19.5 million. Required: 1. Determine the amount of impairment loss. 2. If a loss is indicated, prepare the entry to record the loss. 3. & 4. Determine the amount of impairment loss assuming that the estimated undiscounted sum of future cash flows is (3) $19.5 million instead of $18.4 million and (4) $34.25 million instead of $18.4 million. Complete this question by entering your answers in the tabs below.…

Exercise 11-30 (Algo) Impairment; property, plant, and equipment [LO11-8] General Optic Corporation operates a manufacturing plant in Arizona. Due to a significant decline in demand for the product manufactured at the Arizona site, an impairment test is deemed appropriate. Management has acquired the following information for the assets at the plant: Cost Accumulated depreciation General's estimate of the total cash flows to be generated by selling the products manufactured at its Arizona plant, not discounted to present value The fair value of the Arizona plant is estimated to be $12 million. Required: 1. Determine the amount of impairment loss. 2. If a loss is indicated, prepare the entry to record the loss. 3. & 4. Determine the amount of impairment loss assuming that the estimated undiscounted instead of $15.4 million and (4) $20.5 million instead of $15.4 million. Complete this question by entering your answers in the tabs below. Req 1 $ 34.5 million. $ 14.4 million $ 15.4 million…

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:57 El Dorado Foods Incorporated owns a chain of specialty stores in the Pacific Northwest. Recently, four of the stores have experienced declining profits due to market saturation in the area. As a result, management gathered data about possible impairment of the assets of the stores. The information gathered was as follows: Book value: $17.5 million Fair value: $14.9 million Undiscounted sum of future cash flows: $16.5 million Required: Determine the amount, if any, of the impairment loss that El Dorado must recognize on these assets. Note: Enter your answer in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). Impairment loss million

4 02:59:09 Perez Company acquires an ore mine at a cost of $2,240,000. It incurs additional costs of $627,200 to access the mine, which is estimated to hold 1,600,000 tons of ore. 210,000 tons of ore are mined and sold the first year. The estimated value of the land after the ore is removed is $320,000. Calculate the depletion expense from the information given. 1. & 2. Prepare the entry to record the cost of the ore mine and year-end adjusting entry. Complete this question by entering your answers in the tabs below. eBook Depletion Expense General Journal Calculate the depletion expense from the information given. Note: Round "Depletion per unit" to 3 decimal places. Cost Salvage Amount subject to depletion Total units of capacity Depletion per unit Units extracted and sold in period Depletion expense Help Save &

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7 A company owns an asset with an original cost of $300,000 and a current book value of $160,000. During a review of the asset for impairment, the company estimates the expected future cash flows from the use and disposal of the asset to be $200,000. There is an active market for this asset, and the fair value of the asset, calculated as the present value of expected future cash flows, is $140,000. Should this asset be considered impaired? O No, because the estimate of expected future cash flows (undiscounted) is greater than the book value. O No, because the estimate of expected future cash flows (undiscounted) is greater than the actual fair value. OYes, because fair value is less than the original cost. O Yes, because the fair value is less than the book value.

Impairment    Basil Corporation's balance sheet includes the following asset:           Equipment:                                 $100,000           Accumulated depreciation:               20,000   Basil was notified of a significant change in demand for the product produced by the machine, and decided to test for impairment.  Basil obtained the following data:             Future cash flows (undiscounted):          $78,000           Value in use (discounted):                       73,000           Fair value:                                               75,000           Selling costs:                                           3,000 Required: Assuming Basil Corporation follows ASPE, calculate if the asset is impaired, and prepare any journal entry required.  Show your calculations.

I just need BE10.9

! Required information Problem 8-6A (Algo) Disposal of plant assets LO C1, P1, P2 [The following information applies to the questions displayed below.] Onslow Co. purchased a used machine for $240,000 cash on January 2. On January 3, Onslow paid $8,000 to wire electricity to the machine and an additional $1,600 to secure it in place. The machine will be used for six years and have a $28,800 salvage value. Straight-line depreciation is used. On December 31, at the end of its fifth year in operations, it is disposed of. 2. Prepare journal entries to record depreciation of the machine at December 31. View transaction list Journal entry worksheet 1 2 > Record the first year year-end adjusting entry for the depreciation expense of the used machine. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal 2. Prepare journal entries to record depreciation of the machine at December 31. View transaction list Journal entry…

A cash-generating unit comprises the following assets   $’000 Building 700 Plant & Equipment 200 Goodwill 90 Current Assets 1,010   1,010   One of the machines, carried at $40,000, is damaged and will have to be scrapped. The recoverable amount of the cash-generating unit is estimated at $750,00 What will be the carrying amount of the building when the impairment loss has been recognised? (to the nearest $'000)   Select one alternative $577,000 $594,000 $548,000 $597,000

N6    A new machine tool is being purchased for $260,000 and is expected to have a $36,000 salvage value at the end of its 5-year useful life. Assume any remaining depreciation is claimed in the last year. Compute the depreciation schedules for this capital asset, using the following methods: (a) Straight-line depreciation (b) MACRS Note: No statement is required for this problem.

The net assets of Fyngle, a cash generating unit (CGU) are: $ Property, plant and equipment 200,000 Allocated goodwill 50,000 Product patent 20,000 Net current assets (at net realisable value) 30,000 300,000 As a result of adverse publicity, Fyngle has a recoverable amount of only $200,000. What would be the value of Fyngle's property, plant and equipment after the allocation of the impairment loss?

A cash-generating unit comprises the following assets:   £000 Goodwill 220 Land 1,280 Plant and equipment 400   1,900   One of the pieces of equipment, carried at £80,000, is damaged and will have to be scrapped. The recoverable amount of the cash-generating unit is estimated at £1,500,000. What will be the carrying amount of the land after the impairment loss has been recognised? Select one: a. £1,200,000 b. £1,142,858 c. £1,010,526 d. £1,055,736 e. £300,000

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Which one of the following is capitalized as intangible? an OMR 125,000 spent on development of a new product but later due to non-feasibility company discontinued to commit funds for the process Developing cost OMR 85,000 of a new process that shall significantly save cost for the company The company spent OMR 12,000 for designing a new company logo for the business Marketing cost of OMR 150,000 spent by company that led to increase in sale of the company significantly

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A cash-generating unit comprises the following assets:   £000 Goodwill 440 Land 2,560 Plant and equipment 800   3,800     One of the pieces of equipment, carried at £160,000, is damaged and will have to be scrapped. The recoverable amount of the cash-generating unit is estimated at £3,000,000. What will be the carrying amount of the land after the impairment loss has been recognised?   a. £2,111,472 b. £2,285,716 c. £2,021,052 d. £2,400,000 e. £300,000

(4) Delaney Company is considering replacing equipment that originally cost $519,000 and that has $363,300 accumulated depreciation to date. A new machine will cost $724,000. What is the sunk cost in this situation? a.$568,300 b.$519,000 c.$124,560 d.$155,700

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8-7b. Disposal of asset. Dump It is selling a machine that no longer is large enough for the production requirements. Dump It has had the machine for 3 years and has depreciated it using the straight-line method. Original cost had been $98,000, and salvage was estimated at $6,000. The machine had been expected to last for 8 years.  (in all answers round to nearest dollar; do not use "$" or commas in your answer) Journalize the sale of the machine for $50,000.