= ab General III III ste $ % Calibri (Body) 11 A A BI Ur Eva. Av x V fx ) 19 ANSWER PARTS 2a., 2b. and 2c below. SHOW ALL WORK IN SUPPORT OF YOUR ANSWER Thornton Industries acquired several businesses and recognized goodwill in eachacquisition. It has allocated the resulting goodwill to its three reporting units: FX1, FX2 and FX3. Thornton Industries provides the following financial information on each reporting unit as of 12/31/2018: Total Fair Value Reporting Ulit (including Goodwill 450,000 $ Reporting Unit FX1: Tangible assets Trademarks Customer list Goodwill Liabilities Total Book Values 200,000 180,000 110,000 100,000 (30,000) 560,000 Fair Values 175,000 170,000 120,000 ? (30,000) 435,000 Using the Two Step test determine goodwill impairment if any on the carrying value of zoodwill as of 12/31/2018. SHOW ALL WORK IN SUPPORT OF ANSWER! Step 1: Step 2: ne Insert Draw Page Layout Formulas Data Review View = = = General Calibri (Body) BI U 11 A A OA $ %, too 9 X V fx 1. Using the revised impairment testing per ASU 2017 #4 determine goodwill impairmenton If any on the carrying value of goodwill as of 12/31/2018. SHOW ALL WORK IN SUPPORT OF ANSWERI Book Values Fair Values Total Fair Value Reporting Unit (including Goodwill Reporting Unit FX2: 615,000 Tangible assets Patents Licenses Goodwill Total 200,000 170,000 80,000 150,000 600,000 175,000 125,000 100,000 ? 400,000 Using the Two Step test determine goodwill impairment if any on the carrying value of goodwill as of 12/31/2018. SHOW ALL WORK IN SUPPORT OF ANSWE Step 1: Step 2: lome Insert Draw Page Layout Formulas View Data Review == General LOI 11 A A Ivar Av Condition Format as Calibri (Body) BI U x fx Paste DO $ % H109 ii. Using the revised impairment testing per ASU 2017 14 determine goodwill impairmenton if any on the carrying value of goodwill as of 12/31/2018. SHOW ALL WORK IN SUPPORT OF ANSWERI 2c. Book Values Fair Values Total Fair Value Reporting Unit including Goodwill Reporting Unit FX3: 400,000 Tangible assets Patents Copyrights Goodwill Liabilities Total $ 140,000 140,000 75.000 130,000 (50,000) 435,000 $ 120,000 $ 200,000 75,000 ? (50,000) 345,000 Step 1: Step 2: 100 101 Calibri (Body) 11 A A ce General ste & BI Urvava $ % 9 to M H. Using the revised impairment testing per ASU 2017 #4 determine goodwill impairmenton if any on the carrying value of goodwill as of 12/31/2018. SHOW ALL WORK IN SUPPORT OF ANSWERI