Jurassic Company owns machinery that cost $900,000 and has accumulated depreciation of $380,000. The present value of

Question:

Jurassic Company owns machinery that cost $900,000 and has accumulated depreciation of $380,000. The present value of expected future net cash flows from the use of the asset are expected to be $500,000. The fair value less costs of disposal of the equipment is $400,000. Prepare the journal entry, if any, to record the impairment loss.