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3. On July 1, 2019. Captain Company paid $3,000,000 for all the common stock of Bright Sunshine, Inc. On that date, Bright Sunshine's book value

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3. On July 1, 2019. Captain Company paid $3,000,000 for all the common stock of Bright Sunshine, Inc. On that date, Bright Sunshine's book value was $2,500,000 and fair value of identifiable net assets was $2,850,000. After acquisition, Bright Sunshine was identified as a reporting unit and the goodwill from the acquisition was assigned to that reporting unit. a. Compute the amount of goodwill, if any, from the acquisition. Braun b. Prepare the acquisition entry. c. Over the remainder of the year, the new unit experienced significant operating losses, suggesting the need for testing of goodwill for impairment. The fair value of the reporting unit was estimated to be $2.005.000 at December 31. Captain Company's year-end Investment in Bright Sunshine was $2,100,000, including the goodwill. The fair value of the identifiable net assets of Bright Sunshine at year-end was $1.920,000 i. Compute the goodwill impairment, if any. li Prepare the required journal entry if you find that goodwill is impaired d. Now assume that Captain paid book value for Bright Sunshine. i. Compute the amount of goodwill, if any, from the acquisition. ii. Prepare the acquisition entry

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