At the end of 2023, Culver Corporation owns a licence with a remaining life of 10 years and a carrying amount of $544,000. Culver expects undiscounted future cash flows from this licence to total $548,500. The licence's fair value is $439,100 and disposal costs are estimated to be nil. The licence's discounted cash flows (that is, value in use) are estimated to be $489,700. Culver prepares financial statements in accordance with ASPE. (a) Your answer is partially correct. Determine if the licence is impaired at the end of 2023. The licence is not impaired at the end of 2023. Prepare any related entry that is necessary. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Account Titles and Explanation Debit Credit

At the end of 2023, Culver Corporation owns a licence with a remaining life of 10 years and a carrying amount of $544,000. Culver expects undiscounted future cash flows from this licence to total $548,500. The licence's fair value is $439,100 and disposal costs are estimated to be nil. The licence's discounted cash flows (that is, value in use) are estimated to be $489,700. Culver prepares financial statements in accordance with ASPE. (a) Your answer is partially correct. Determine if the licence is impaired at the end of 2023. The licence is not impaired at the end of 2023. Prepare any related entry that is necessary. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Account Titles and Explanation Debit Credit

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 29CE

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