A company owns a warehouse that costs $1,200,000 and has accumulated depreciatio...
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A company owns a warehouse that costs $1,200,000 and has accumulated depreciation of $500,000. At the present time, this asset has a remaining life of 10 years but is currently worth only $610,000. The company anticipates that this warehouse can be used to generate net cash inflows of $72,000 in each year for the remainder of its life. These cash flows have a present value of $517000 using a reasonable interest rate. What loss should the company recognize with the impaired value of this asset
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