The Following Information Is Available for Barkley Company's Patents Barkley Would Record a Loss on Impairment of
A)$1,080,000

Multiple Choice

The following information is available for Barkley Company's patents: $$\begin{array} { l r } \text { Cost } & \$ 1,720,000 \\\text { Carrying amount } & 860,000 \\\text { Expected future net cash flows } & 800,000 \\\text { Fair value } & 640,000\end{array}$$ Barkley would record a loss on impairment of

A) $1,080,000.
B) $220,000.
C) $160,000.
D) $60,000.