Gali Ltd has determined that its fine china division is a CGU
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 |
Required
Prepare the journal entry(ies) for any impairment loss occurring at 30 June 2015 including supporting calculations.