Solution 1:
The recoverable amount is the higher of fair value less cost to sell $156,000 and value in use $149,000. The recoverable amount $156,000 is then compared to the carrying amount of asset.
Solution 2:
Impairment amount = $176,500 - $156,000 = $20,500
Innovative Inc. has a piece of equipment with a carrying amount of $176,500 Technology has changed,...
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