Mathematics · Accounting - Asset Impairment
A cash-generating unit (CGU) has the following carrying amounts before allocation of impairment loss: Goodwill = $550,000; Plant = $950,000; Building = $1,300,000; Intangible asset = $400,000; Net current assets = $430,000. The CGU is found to be impaired by $1.13 million. On this date, the plant had a fair value less costs of disposal of $1 million. What is the carrying amount of the building following recognition of the impairment loss under IAS 36?
- 1$1,300,000
- 2$1,015,471
- 3$856,471✓
- 4$840,937
Correct answer
$856,471
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