Gali Ltd has determined that its fine china division is a CGU. The carrying amounts of the assets at 30 June 2015 are as follows:

Account Carrying Amount
Land $822,700
Patent $189,000
Building $119,000
Inventory $51,000
Goodwill $42,000
Total CA $1,223,700


Gali Ltd calculated the value in use of the division to be: $1,097,700
If the fair value less cost of disposal of the Land is: $792,141



Prepare the journal entry(ies) for any impairment loss occurring at 30 June 2015 including supporting calculations.

Click on Buy Solution and make payment. All prices shown above are in USD. Payment supported in all currencies.

After making payment, solution is sent within 2 to 5 minutes on your Email ID. But it may take up to 1 hour in case of high load on server. Solution is available in Word or Excel format unless otherwise specified.


If your question is slightly different from the above question, please contact us at with your version of question.