How much should company b impair asset a

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Question - Assume the following information about Asset A owned by Company B (all amounts are at the end of the reporting period):

Period 1 book value $15.5M

Period 2 book value $14.5M

Period 1 fair value $17.5M

Period 2 fair value $12.5M

Period 1 undiscounted FCF $16.5M

Period 2 undiscounted FCF $13.0M

At the end of reporting period 2, how much should Company B impair Asset A?

Reference no: EM133144813

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