The carrying amounts of the assets of a CGU are as follows: £000 Goodwill 300 Patents 450 Lands & Buildings 800 Total 1,550 The recoverable amount of the CGU is £850,000. How much of the impairment loss should be allocated against lands and buildings? Select one: a. 400,000 b. 256,000 c. 0 d. 144,000

The carrying amounts of the assets of a CGU are as follows: £000 Goodwill 300 Patents 450 Lands & Buildings 800 Total 1,550 The recoverable amount of the CGU is £850,000. How much of the impairment loss should be allocated against lands and buildings? Select one: a. 400,000 b. 256,000 c. 0 d. 144,000

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter7: Deductions And Losses: Certain Business Expenses And Losses

Section: Chapter Questions

Problem 23CE

See similar textbooks

Similar questions

7) The following data apply to a non-current asset: £ Net realisable value 5,000 Historic cost 6,000 Net present value in use 7,500 Replacement cost 10,000 What is the deprival value? A) £5,000 B) £6,000 C) £7,500 D) £10,000
Enter Co. determined the following information for the purpose of testing its investment in associate for impairment: Carrying amount of investment (including ₱100,000 goodwill) 1,600,000 Fair value less costs of disposal (FVLCD) 1,440,000 Value in use (VIU) 1,380,000 How much is the impairment loss? 160,000 b. 220,000 c. 60,000 d. 0
Case 5. The assets of a CGU at year-end are as follows: Property, Plant and Equipment Patent Goodwill Carrying amount 2,500,000 3,500,000 1,000,000 Fair value 2,000,000 3,000,000 1,000,000 The most recent review assesses the value in use of the CGU to be 4,500,000. 24. What total amount should be reported as impairment loss on goodwill? 25. What is the impairment loss to be allocated to the PPE?
The entity has the following data during the year Building 5,000,000 Land 6,000,000 Equipment 2,000,000 The total fair market value is equal to P9,000,000. The fair market value of land as of that date is 7,000,000. How much is the impairment loss attributable to the building? O 3,571,428 1,000,000 O 2,000,000 O 1,538,461
Grover Inc. wishes to use the revaluation model for this property: Building Gross Value Building Accumulated Depreciation Net carrying value The fair value for the property is $100,000. What amount would be booked to the "accumulated depreciation" account if Grover chooses to use the proportional method to record the revaluation? OA. $20,000 credit B. $10,000 credit O C. SO Before Revaluation $120,000 40,000 80,000 D. $10,000 debit
An asset's carrying amount is OMR 50,000. Its fair value OMR 40,000 and costs of disposal is OMR 3000 and its value in use is OMR 36,000. There is an impairment loss of: a- OMR 13,000 b- No impairment loss c- OMR 14,000 d- OMR 10,000
Exercise 7-23 (Algorithmic) (LO. 4) Determine the treatment of a loss on rental property under the following facts: Basis $940,000 FMV before the loss 1,128,000 FMV after the loss 282,000 The amount of the loss is $ which is
how arrived Purchase of fixed assets (10,20,000)
A fixed asset with a cost of $31,021 and accumulated depreciation of $27,918.90 is sold for $5,273.57. What is the amount of the gain or loss on disposal of the fixed asset? Oa. S2,171.47 loss Ob. $3,102.10 loss Oc. S2,171.47 gain Od. S3,102.10 gain
H2.
Bovine Ltd. has the following assets in a CGU: Carrying Value (thousands) Equipment $ 861 Building 2,009 Land 1,170 Goodwill 200 $ 4,240 The recoverable amount has been determined to be $3,340. The separate fair value less costs of disposal for land is $1,070; no other assets could be separately valued.Required:1. Allocate the impairment loss to individual assets and calculate the net book value of each asset after the impairment. (Enter answers in thousands of dollars.) Bovine Ltd. has the following assets in a CGU: Carrying Value (thousands) Equipment $ 861 Building 2,009 Land 1,170 Goodwill 200 $ 4,240 The recoverable amount has been determined to be $3,340. The separate fair value less costs of disposal for land is $1,070; no other assets could be separately valued.Required:1. Allocate the impairment loss to individual assets and calculate the net book value of each asset after…
Bovine Ltd. has the following assets in a CGU: Carrying Value (thousands) Equipment $ 861 Building 2,009 Land 1,170 Goodwill 200 $ 4,240 The recoverable amount has been determined to be $3,340. The separate fair value less costs of disposal for land is $1,070; no other assets could be separately valued.Required:1. Allocate the impairment loss to individual assets and calculate the net book value of each asset after the impairment. (Enter answers in thousands of dollars.) 2. Assume that the recoverable amount recovered to $3,540 in the subsequent year. Allocate the impairment reversal to individual assets and calculate the net book value of each asset after the impairment. The separate fair value less costs of disposal for land remains at $1,070. There is no concern with a ceiling value when assigning the recovery to building or equipment. (Enter answers in thousands of dollars.)