12.2 IMPAIRMENT LOSS, GOODWILL On 1 January 2008, Silver Ltd acquired all the assets and liabilities of Emerald Ltd. Emerald Ltd has a number of operating divisions, including one whose major industry is the manufacture of toy trains, particularly those of historical significance. The toy trains division is regarded as a cash- generating unit. In paying $2 million for the net assets of Emerald Ltd, Silver Ltd calculated that it had acquired goodwill of $240 000. The goodwill was allocated to each of the divisions, and the assets and liabilities acquired measured at fair value at acquisition date. At 31 December 2010, the carrying amounts of the assets of the toy train division were: Factory Inventory Brand 'Froggy' Goodwill $250000 150 000 50 000 50000 There is a declining interest in toy trains because of the aggressive marketing of computer-based toys, so the management of Silver Ltd measured the value in use of the toy train division at 31 December 2010, determining it to be $423 000. Required Prepare the journal entries to account for the impairment loss at 31 December 2010