Question: Question Below: Please solve Problem 2 (Points 30) Brickell Corporation purchased a new machinery at the beginning of 2020 at a cost of $200,000. The

Question Below: Please solve

Problem 2 (Points 30) Brickell Corporation purchased a new machinery at the beginning of 2020 at a cost of $200,000. The machinery is expected to have a useful life of 10 years and no residual value. The straight-line method of depreciation is used. Adverse economic conditions develop in 2022 that result in a significant decline in demand for Brickell's products. At December 31, 2022 the company develops the following estimates related to the machinery: Expected future cash flows: $150,000 PV of expected future cash flows: $110,000 Selling price: $140,000 Cost of disposal: $14,000 At the end of 2024, Brickell's management determines that there has been a substantial improvement in economic outlook, resulting in a strengthening of demand for Brickell's products. The following estimates related to the machinery are developed at December 31, 2024: Expected future cash flows: $140,000 . PV of expected future cash flows: $106,000 . Selling price: $100,000 Cost of disposal: $14,000 Required: 1. Determine the carrying amounts for the machinery reported on the balance sheet at the end of years 2020-2024 and the amounts to be reported in the income statement related to the machinery for years 2020-2024

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