Record the journal entries to recognise the impairment loss

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BR Ltd has one cash generating unit (CGU) and it has been determined that the CGU has suffered impairment and the recoverable amount for the year ended 30 June 2021 is $1,800,000.

The carrying amounts of the assets as at 30 June 2021 are as follows :

$

Building 1,200,000

Equipment 800,000

Goodwill 200,000

Total 2,200,000

In accordance with AASB 136 Impairment Assets,

Required:

Problem (i) calculate the impairment loss,

Problem (ii) calculate the amount of impairment loss to be allocated to the individual assets and

Problem (iii) record the journal entries to recognise the impairment loss for Riveria Beach Ltd.

Reference no: EM133001660

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