An impairment loss is indicated because the estimated undiscounted sum of future cash flows of $30 million is less than the book value of $32.1 million.
The amount of the loss to be reported is calculated using the estimated fair value rather than the undiscounted future cash flows:

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The Answer of An impairment loss is indicated because the estimated undiscounted sum of future cash flows of $30 million is less than the book value of $32.1 million.
The amount of the loss to be reported is calculated using the estimated fair value rather than the undiscounted future cash flows:

An Impairment Loss Is Indicated Because the Estimated Undiscounted Sum