Presented below is net asset information related to the Salmon Division of Horton, Inc.
SALMON DIVISION
NET ASSETS
AS OF DECEMBER 31, 2014
(IN MILLIONS)
Cash .................. $ 40
Receivables ................ 160
Property, plant, and equipment (net) ....... 2,080
Goodwill ................. 160
Less: Notes payable ............ (2,160)
Net assets ............... $ 280

The purpose of the Salmon division is to develop a nuclear-powered aircraft. If successful, traveling delays associated with refueling could be substantially reduced. Many other benefits would also occur. To date, management has not had much success and is deciding whether a write-down at this time is appropriate. Management estimated its future net cash flows from the project to be $320 million. Management has also received an offer to purchase the division for $268 million. The identifiable book and fair value amounts of all assets and liabilities are the same.

Instructions
(a) Prepare the journal entry (if any) to record the impairment at December 31, 2014.
(b) At December 31, 2015, it is estimated that the division’s fair value increased to $276 million. Prepare the journal entry (if any) to record this increase in fair value.