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Impairment of Intangible Asset (Trademark)

Writing down the value of a brand name that has lost its market relevance or legal protection.

Account NameTypeDebit ($)Credit ($)
Loss on ImpairmentExpense (+)2,000.00-
Intangible Assets: TrademarksAsset (-)-2,000.00

💡 Accountant's Note

If a brand you bought becomes worthless (e.g., a failed product line), you must remove its value from the balance sheet immediately.

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