A games publisher, Pixalune, acquired a patent on a graphics engine, which it carries at cost less amortisation. The arrival of a competing technology leads it to estimate the recoverable amount of the patent at 62,000, for a carrying amount of 86,000. Record the accounting effect at the year-end.
- Carrying amount of the patent
- 86,000
- Recoverable amount of the patent
- 62,000