At reporting date Guilder Limited estimated an impairment loss of $50 000 against its single cash-generating unit. The company had the following assets: headquarters building $100 000; plant $60 000; equipment $40 000. The net carrying amount of the plant after allocation of the impairment loss is:
A) $60 000.
B) $45 000.
C) $35 000.
D) $10 000.

Question

Quizplus · Accepted Answer

The Answer is B

At Reporting Date Guilder Limited Estimated an Impairment Loss of $50