2. Plant
Cost 3 300 000
Restoration costs (calc 2.1) 330 003
3 630 003
Accum ulated depreciation: 30 June 2023(calc 2.2) (909 001)
Carrying amount - 30 June 2023 2 390 999
Recoverable amount:
Higher of -
- fair value less costs to sell (2 150 000 - 40 000) = 2 110
000
- Value in use = 2 030 000
Therefore recoverable amount is R2 030 000
Impairment loss on 30 june 2023 (2 390 999 - 2030 000) (360 999)
Carrying amount - 30 June 2023 2 030 000
Depreciation (2 030 000 - 600 000)/7 (204 286)
Carrying amount on 30 June 2024 1 825 714
Reversal of impairment (Calc 2.4) 360 999
Carrying amount on 30 June 2024 2 186 713
2.1. FV = 760 000
n = 10
I = 8,7%
COMP PV = 330 003
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