Maple Inchas the Following Information Regarding Its Assets: What Amount of of Loss

question 118

Multiple Choice

Maple Inc.has the following information regarding its assets: What amount of loss should be recorded due to asset impairments?
$$\begin{array} { | l | r | r | r | } \hline & \text { Book Value } & \begin{array} { r } \text { Estimated Cash } \\\text { Flows }\end{array} & \text { Fair Value } \\\hline \text { Equipment } & \$ 35,000 & \$ 30,000 & \$ 28,000 \\\hline \text { Building } & \$ 68,000 & \$ 70,000 & \$ 65,000 \\\hline \text { Patent } & \$ 30,000 & \$ 34,000 & \$ 32,000 \\\hline\end{array}$$

• A)$10,000.
• B)$9,000.
• C)$8,000.
• D)$7,000.

---

Definitions:

Andrew Ure

A Scottish doctor, scholar, and industrialist of the 19th century, known for his contributions to the study of economics and manufacturing.

Human Relations

The study and management of interpersonal relationships, focusing on how to improve these relationships for the benefit of individuals and organizations.

The Philosophy of Manufacturers

An outlook or system of thought concerning the principles, practices, and ethics of producers and manufacturers.

Zygote

The initial cell formed when a new organism is produced by the union of sperm and egg cells, representing the earliest developmental stage of the embryo.