What should robertson record as an impairment loss on july 1


Robertson Inc. bought a machine on January 1, 2000 for $300,000. The machine had an expected life of 20 years and was expected to have a salvage value of $30,000. On July 1, 2010, the company reviewed the potential of the machine and determined that its undiscounted future net cash flows totaled $150,000 and its discounted future net cash flows totaled $105,000. If no active market exists for the machine and the company does not plan to dispose of it, what should Robertson record as an impairment loss on July 1, 2010?

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Accounting Basics: What should robertson record as an impairment loss on july 1
Reference No:- TGS088305

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