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Purchase Receipt 1 Purchase Receipt 1 - Equipment Purchase Date: 7/1/Year 2 Purchase Amount: $600,000 Purchase Receipt 2 Purchase Receipt...

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Accounting

Purchase Receipt 1

Purchase Receipt 1 - Equipment

Purchase Date: 7/1/Year 2

Purchase Amount: $600,000

Purchase Receipt 2

Purchase Receipt 2 - Machine Set

Purchase Date: 1/1/Year 5

Purchase Amount: $600,000

Purchase Receipt 3

Purchase Receipt 3 - Land

Purchase Date: 1/1/Year 3

Purchase Amount: $650,000

Scroll down to complete all parts of this task.

At December 31, Year 5, Aaron Co. had the following property,plant, and equipment:

AssetFair ValueCost to SellPresent Value of All Cash Flows Expected from the AssetSum of All Undiscounted Cash Flows Expected from the AssetUseful Life from the Acquisition Date (DepreciationMethod)Residual Value
Equipment$220,000$5,000$230,000$255,0006 years (Straight Line)$0
Machine set  310,000  8,000  320,000  335,000  4 years (SYD)  0
Land  660,000  9,000  600,000  640,000

Determine the impairment losses recognized for Year 5 under U.S.GAAP and IFRS. Enter the appropriate amounts in the designatedcells below. Enter all amounts as positive numbers. If the correctanswer is zero, enter a zero (0).

AssetImpairment Loss Under U.S. GAAPImpairment Loss Under IFRS
1. Equipment
2. Machine set
3. Land

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