Airwave Corporation, an IFRS reporter, was required to write down one of its plant assets by $

Question:

Airwave Corporation, an IFRS reporter, was required to write down one of its plant assets by $ 1,650,000 on December 31 of the current year because the asset’s technology was rendered obsolete. It used a model to estimate the asset’s value in use. It projected future cash flows for the next five years and used a 9% for this purpose. The value in use was higher than the estimated fair value less selling costs. Prepare the footnote disclosure for the impairment loss.
Discounted Cash Flows
What is Discounted Cash Flows? Discounted Cash Flows is a valuation technique used by investors and financial experts for the purpose of interpreting the performance of an underlying assets or investment. It uses a discount rate that is most... Cost Of Capital
Cost of capital refers to the opportunity cost of making a specific investment . Cost of capital (COC) is the rate of return that a firm must earn on its project investments to maintain its market value and attract funds. COC is the required rate of...