At year – end Jade Company has an equipment with the following cost and accumulated depreciation; Equipment 9 000 000 Accumulated depreciation 3 000 000 Due to obsolescence and physical damage, the equipment is bound to be impaired. At year – end the entity has determined the following information related equipment; Fair value less cost of disposal 4 500 000 Value in Use or discounted net cash enclosed 4 000 000 What amount should be reported as impairment for the year?
At year – end Jade Company has an equipment with the following cost and
Equipment 9 000 000
Accumulated depreciation 3 000 000
Due to obsolescence and physical damage, the equipment is bound to be impaired. At year – end the entity has determined the following information related equipment;
Fair value less cost of disposal 4 500 000
Value in Use or discounted net cash enclosed 4 000 000
What amount should be reported as impairment for the year?
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