Starburst Manufacturing reports the following long−term assets for its lighting division:
As a result of new technology, Starburst believes that the lighting division's equipment in their manufacturing facility is nearly obsolete. They project the following future cash flows for the lighting division's operations:
What is the impairment loss, if any, for the appropriate asset group, assuming a discount rate of 8%
a) $180,000
b) $420,000
c) $200,000
d) $400,000