In 2011, Bellding Inc. acquired production machinery at a cost of £630,000, which now has accumulated depreciation of £380,000. The value in use of the machinery is £195,000. and it’s fair value let cost to sell is £225,000. What amount should Condor recognize as a loss on impairment?
A. £155,000
B. £30,000
C. £25,000
D. -0-
Answer:C
In 2011, Bellding Inc. acquired production machinery at a cost of £630,000, which now has accumulated depreciation of £380,000. The value in use of the machinery is £195,000. and it’s fair value let cost to sell is £225,000. What amount should Condor recognize as a loss on impairment?
A. £155,000 B. £30,000 C. £25,000 D. -0-