impairment loss
4. Danny Ltd reported the following assets in its statement of financial position at 30 June 2021:
Cash | 11 000 |
Accounts receivable | 40 000 |
Allowance for doubtful debts | (9 000) |
Inventories | 54 000 |
Land | 400 000 |
Buildings | 1 175 000 |
Accumulated depreciation — buildings | (200 000) |
Plant | 850 000 |
Accumulated depreciation — plant | (375 000) |
Goodwill | 52 000 |
Danny Ltd undertook impairment testing and determined the recoverable amount of the assets, a cash generating unit (CGU), at 30 June 2021 to be $1,700,000.
Required:
Calculate and allocate any impairment loss across the cash generating unit. Prepare the necessary journal entry for impairment loss.
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Just explain the part I added red notice for it( please show me
numbers, the calculation, what to add multiple, dividend to get
this result
Refrence
Deegan. (2016). Financial Accounting . McGraw-Hill
Education, Australia
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Just explain the part I added red notice for it, only how to get
390000( please show me numbers, the calculation, what to add
multiple, dividend to get this result
Refrence
Deegan. (2016). Financial Accounting . McGraw-Hill
Education, Australia
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