Based on the Following Information, What Is the Recoverable Amount

question 55

Multiple Choice

Based on the following information, what is the recoverable amount for the impairment test? $$\begin{array} { | l | r | } \hline \text { Cost } & \$ 750,000 \\\hline \text { Accumulated depreciation } & 530,000 \\\hline \text { Value in use (sum of discounted cash flows) } & 230,000 \\\hline \text { Fair value } & 240,000 \\\hline \text { Disposal costs } & 5,000 \\\hline\end{array}$$

• A)$220,000
• B)$230,000
• C)$235,000
• D)$240,000

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