Question
A company reports $11.2 million in goodwill and decides to quantitatively test it for impairment at the end of 2020. The following information is collected:
A company reports $11.2 million in goodwill and decides to quantitatively test it for impairment at the end of 2020. The following information is collected:
What is the amount of goodwill impairment loss for 2020, following U.S. GAAP?
The correct answer is $6,200,000. Please show your calculation.
Division 1 Division 2 Division 3 Book value of goodwill $ 7,000,000 $ 200,000 $ 4,000,000 Fair value of division 40,000,000 6,000,000 20,000,000 Book value of division 45,000,000 6,500,000 21,000,000Step by Step Solution
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Managerial Accounting And Analysis In Multinational Enterprises
Authors: H P Holzer
1st Edition
3110100819, 978-3110100815
