Question: Bread-farm has a specialized bread maker with the following characteristics as of December 31, 2021: Carrying value $200,000 Selling price $170,000 Costs of disposal $6,000

  1. Bread-farm has a specialized bread maker with the following characteristics as of December 31, 2021:

Carrying value

$200,000

Selling price

$170,000

Costs of disposal

$6,000

Expected future cash flows

$150,000

Present value of expected future cash flows

$126,000

What is the amount of impairment loss under US GAAP?

  1. No impairment
  2. 30,000
  3. 36,000
  4. 50,000

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

3. Bread-farm has a specialized bread maker with the following characteristics as of December 31, 2021: Carrying value $200,000 Selling price $170,000 Costs of disposal $6,000 Expected future cash...

Q:

highlight the correct answer: 1. Wholefoods , an American supermarket chain, introduced its own private label, ' 365' brand in 1997 (24 years ago). Wholefoods registered ' 365' trademark in 1997 for...

Q:

Quantitative Analysis Estimate each propertys current value by calculating the present discounted value of expected future cash flows. The forward-looking cash flows have been provided for you in the...

Q:

GIVIISI V. Common Size Income Statement Prepare a common size income statement for two years and compare/contrast the changes (Refer to chapter 17) VI. Ratio Analysis of Financial Statements Prepare...

Q:

The "Situation Analysis" can give you an idea of where the market is going and where your business. After conducting these analyzes with its team member, the company must answer the next questions :...

Q:

Using the supporting data of LVMH, answer the following questions about LVMH. With supporting data and clear step by step answer. its for international finance course project! Change in profit from...

Q:

I am unsure how to fill out the charts please help. The first 6 charts. Wherever there are green boxes is where numbers are inserted. The reat of the charts are there to help. Please let me know if...

Q:

Create income statement and balance sheet for 2016 Income Statement in '000 Notes 20X5 1 1 80 805 42 004 38 801 Revenues Cost of sales Gross profit Selling and administrative expenses Other operating...

Q:

QUESTION 1 [40 MARKS 60 MINUTES] Buffalo Foods Limited ("Buffalo Foods") is a JSE-listed company headquartered in Pietermaritzburg (South Africa), where it owns and operates maize mills, wheat mills,...

Q:

The Case It is late March 2020 and you are a first-year accounting analyst in the financial reporting area at All World Airways (AWA). You have just finished your first yearend close and reporting...

Q:

Mr. Tib is employed by RQA Inc. This year, Mr. Tib incurred $3,160 of employment-related entertainment expenses and $4,750 of employment-related moving expenses. Mr. Tibs AGI before consideration of...

Q:

The Roasting Bean had 34 seats at small tables and 15 bar stools at the counter which was adjacent to the picture windows that looked out onto the street scene below. It was a perfect setting for a...

Q:

4 Part 3 of 4 1 points eBook 3 Hint References Required information [ The following information applies to the questions displayed below. ] Trey Monson starts a merchandising business on December 1...

Q:

\f

Q:

A Was Bradley wrong, or was he just doing what any aspiring journalist would do to free up his time? Do you have a greater understanding for his struggle in light of your own position?

Q:

B Is it OK to pawn your work off on unpaid college students, even if theyre willing to do it?

Q:

Did the event attract volunteers from outside the group? Fifteen nonmembers participated in the cleanup, among them several schoolchildren who attended with their parents.