anment/take Assignment Main.dolinvoker assignments&take AssignmentSessionLocator assignment-take&inprogress=false eBook Show Me How Calculator Asset Impairment Instructions Chart of Accounts General Journal Schedules IFRS Analysis Shaded cels have feedback General Journal Instructions On January 1, 2012, Vallahara Company purchased machinery for $650,000, which it installed in a rented factory. It is depreciating the machinery over 12 years by the straight-line method to a residual value of $50,000. Late in 2016, because of increasing competition in the industry, the company believes that its asset may be impaired and will have a remaining useful life of 5 years, over which it estimates the asset will produce total cash inflows of $1,000,000 and will incur total cash outflows of 5825,000. The cash flows are independent of the company's other activities and will occur evenly each year, Vallahara is not able to determine the fair value based on a current selling price of the machinery. Vallahara's discount rate is 10% Required: 1. Prepare schedules to determine whether at the end of 2016, the machinery is impaired and to the impairment loss to be recognized 2. If the machinery is impaired, prepare the journal entry to record the impairment 3. Ir Valahara uses IFRS and determines that the fair value of the machinery is $200,000 and that it would cost $10,000 to set the machine how much would the company recognize as the impairment loss? 4. Assuming that the recoverable amount of the machinery is determined to be $220,000 at the end of 2017, what entry wil Valahara make to record this increase in value under U.S. GAAP? Under IFRS? o ENG 2:26 PM d o e 9W A W2 Online tes X Cengage Learning XIC On January 1, 2012 Vallahan whats another name for the axi assignment/take AssignmentMain.do?invoker assignments&take AssignmentSessionLocator assignment take&inprogress=false eBook Show Me How Calculator Asset Impairment Instructions Chart of Accounts General Journal Schedules IFRS Analysis General Journal Shaded cells have feedback X If the machinery is impaired, prepare the journal entry to record the impairment at December 31, 2016 under US GAAP 2 years by et may be How does grading work? be the fait PAGE 10 GENERAL JOURNAL Score: 21/25 ACCOUNT TITLE 3174322.00 Dec 31, 2016 Loss on Impairment Accumulated Depreciation 317,322.00 record this increase in value under US GAAP Under FRS? 40 of US com/len/take Assignment/take Assignment Main.do?invoker assignments&takeAssignmentSessionLocator assignment take&inprogress=false Depletic eBook Show Me How Calculator Asset Impairment Chart of Accounts General Journal Schedules IFRS Analysis General Journal Shaded cols have feedback X Schedules Shaded cells have feedbac Complete the Recoverability Test and determine the results of the test Question not attempted. Vallahara Company Score: 0/14 Recoverability Test December 31, 2016 Book Value Machinery cost) Less Accumulated Depreciation Book Value Undiscounted future cash flows Undiscounted future cash flow ENG ignment/take Assignment Main.do?invoker assignments&take AssignmentSessionLocator assignment-take&inprogress false eBook Show Me How Calculator Asset Impairment Chart of Accounts General Journal Schedules IFRS Analysis General Journal Shaded cells have feedback Schedules Shaded cels have feedback X IFRS Shaded ces have feedback If Vallahara uses IFRS and determines that the fair value of the machinery is $200,000 and that it would cost $10,000 to sell the machine, how much would the company recognize as the impairment loss? Complete the impairment Analysis for IFRS Question not attempted. Vallahara Company Score: 0/19 Impairment Analysis (IFRS) December 31, 2016 Fir Value Costs to sell Book Value Impairment Loss (many) 4 00 of ENG US 2:28 PM 11/10/2019 anment/take Assignment Main.dolinvoker assignments&take AssignmentSessionLocator assignment-take&inprogress=false eBook Show Me How Calculator Asset Impairment Instructions Chart of Accounts General Journal Schedules IFRS Analysis Shaded cels have feedback General Journal Instructions On January 1, 2012, Vallahara Company purchased machinery for $650,000, which it installed in a rented factory. It is depreciating the machinery over 12 years by the straight-line method to a residual value of $50,000. Late in 2016, because of increasing competition in the industry, the company believes that its asset may be impaired and will have a remaining useful life of 5 years, over which it estimates the asset will produce total cash inflows of $1,000,000 and will incur total cash outflows of 5825,000. The cash flows are independent of the company's other activities and will occur evenly each year, Vallahara is not able to determine the fair value based on a current selling price of the machinery. Vallahara's discount rate is 10% Required: 1. Prepare schedules to determine whether at the end of 2016, the machinery is impaired and to the impairment loss to be recognized 2. If the machinery is impaired, prepare the journal entry to record the impairment 3. Ir Valahara uses IFRS and determines that the fair value of the machinery is $200,000 and that it would cost $10,000 to set the machine how much would the company recognize as the impairment loss? 4. Assuming that the recoverable amount of the machinery is determined to be $220,000 at the end of 2017, what entry wil Valahara make to record this increase in value under U.S. GAAP? Under IFRS? o ENG 2:26 PM d o e 9W A W2 Online tes X Cengage Learning XIC On January 1, 2012 Vallahan whats another name for the axi assignment/take AssignmentMain.do?invoker assignments&take AssignmentSessionLocator assignment take&inprogress=false eBook Show Me How Calculator Asset Impairment Instructions Chart of Accounts General Journal Schedules IFRS Analysis General Journal Shaded cells have feedback X If the machinery is impaired, prepare the journal entry to record the impairment at December 31, 2016 under US GAAP 2 years by et may be How does grading work? be the fait PAGE 10 GENERAL JOURNAL Score: 21/25 ACCOUNT TITLE 3174322.00 Dec 31, 2016 Loss on Impairment Accumulated Depreciation 317,322.00 record this increase in value under US GAAP Under FRS? 40 of US com/len/take Assignment/take Assignment Main.do?invoker assignments&takeAssignmentSessionLocator assignment take&inprogress=false Depletic eBook Show Me How Calculator Asset Impairment Chart of Accounts General Journal Schedules IFRS Analysis General Journal Shaded cols have feedback X Schedules Shaded cells have feedbac Complete the Recoverability Test and determine the results of the test Question not attempted. Vallahara Company Score: 0/14 Recoverability Test December 31, 2016 Book Value Machinery cost) Less Accumulated Depreciation Book Value Undiscounted future cash flows Undiscounted future cash flow ENG ignment/take Assignment Main.do?invoker assignments&take AssignmentSessionLocator assignment-take&inprogress false eBook Show Me How Calculator Asset Impairment Chart of Accounts General Journal Schedules IFRS Analysis General Journal Shaded cells have feedback Schedules Shaded cels have feedback X IFRS Shaded ces have feedback If Vallahara uses IFRS and determines that the fair value of the machinery is $200,000 and that it would cost $10,000 to sell the machine, how much would the company recognize as the impairment loss? Complete the impairment Analysis for IFRS Question not attempted. Vallahara Company Score: 0/19 Impairment Analysis (IFRS) December 31, 2016 Fir Value Costs to sell Book Value Impairment Loss (many) 4 00 of ENG US 2:28 PM 11/10/2019