Ravel has two CGUs, A and B, served by a headquarters with a carrying amount of 600,000. Management considers it reasonable and consistent to allocate the headquarters in proportion to the carrying amounts of the units (given): 1,000,000 for A and 2,000,000 for B. An indication of impairment arises for CGU A, whose recoverable amount is 1,150,000. Compute the share of the headquarters allocated to A and the impairment loss of A.
- Carrying amount of the headquarters
- 600,000
- Carrying amount of CGU A (excluding headquarters)
- 1,000,000
- Carrying amount of CGU B (excluding headquarters)
- 2,000,000
- Recoverable amount of CGU A
- 1,150,000