# SOLUTION: For several years, a number of Food Lion, Inc., grocery stores were unprofitable. The company closed, and continues to close, some of these locations. It is apparent that the compa

Algebra ->  Algebra  -> Customizable Word Problem Solvers  -> Misc -> SOLUTION: For several years, a number of Food Lion, Inc., grocery stores were unprofitable. The company closed, and continues to close, some of these locations. It is apparent that the compa      Log On

 Ad: Over 600 Algebra Word Problems at edhelper.com Ad: Algebrator™ solves your algebra problems and provides step-by-step explanations! Ad: Algebra Solved!™: algebra software solves algebra homework problems with step-by-step help!

 Word Problems: Miscellaneous Word Problems Solvers Lessons Answers archive Quiz In Depth

 Click here to see ALL problems on Miscellaneous Word Problems Question 225495: For several years, a number of Food Lion, Inc., grocery stores were unprofitable. The company closed, and continues to close, some of these locations. It is apparent that the company will not be able to recover the cost of the assets associated with the closed stores. Thus, the current value of these impaired assets must be written down (see the Case in Point on page 381).A recent Food Lion income statement reports a $9.5 million charge against income pertaining to the write-down of impaired assets. a.Explain why Food Lion must write down the current carrying value of its unprofitable stores. b. Explain why the recent$9.5 million charge to write down these impaired assets is considered a noncash expense.Answer by solver91311(16885)   (Show Source): You can put this solution on YOUR website! Post this question on an accounting homework website -- not here. John