On December 31,2022, Belt Enterprises must measure its impairment loss for plant and equipment. Belt has determined that the broadcast license is not impaired. The projected future undiscounted cash flows, projected future discounted cash flows, and fair values of the plant and equipment are listed below:

 

 

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Data table Cost Less: Accumulated Depreciation/Amortization Carrying value Future cash flows (occurring at the end of each year) Remaining Life 1 2 3 4 5 Total undiscounted future cash flows Total discounted future cash flows at 5% Fair value Year 2023 2024 2025 2026 2027 2028 Plant and Equipment Asset Group $ $ $ $ $ $ 4,280,000 (2,140,000) 2,140,000 660,000 460,000 390,000 0 0 0 1,510,000 1,382,702 1,236,000 Data table Cost Less: Accumulated Depreciation/Amortization Carrying value Future cash flows (occurring at the end of each year) Remaining Life 1 2 3 4 5 Total undiscounted future cash flows Total discounted future cash flows at 5% Fair value Year 2023 2024 2025 2026 2027 2028 Plant and Equipment Asset Group $ $ $ $ $ $ 4,280,000 (2,140,000) 2,140,000 660,000 460,000 390,000 0 0 0 1,510,000 1,382,702 1,236,000

Answer rating: 100% (QA)

To compute the impairment loss for the plant and equipment we compare the carrying value net book va... View the full answer