Arcadia, Incorporated, acquired $100$ percent of the voting shares of Bruno Company on January $1,2023.$ In exchange, Arcadla pald

$$326,750$ in cash and issued $100,000$ shares of its own $$1$ par value common stock. On this date, Arcadia's stock had a fair value of

$$15$ per share. The combination is a statutory merger with Bruno subsequently dissolved as a legal corporation. Bruno's assets and

liabilitles are assigned to a new reporting unit.

The following shows falr values for the Bruno reporting unit for January $1,2023.$ along with respective carrying amounts on December

$31,2024.$

Note: Parentheses indicate a credit balance.

Required:

a$.$ Prepare Arcadla's Journal entry to record the assets acquired and the llablitles assumed in the Bruno merger on January $1,2023.$

b$.$ On December $31,2024,$ Arcadia opts to forgo any goodwill impaimment qualitative assessment and estimates that the total fair value

of the entre Bruno reporting unit is $$1,735,000.$ What amount of goodwlll impalment, if any, should Arcadia recognize on its $2024$

Income statement?

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On December $31,2024,$ Ancadia opts to forgo any goodwill impairment qualitztive assesanment and estimates that the total

fair value of the entire Bruno reporting unit is $$1,735,000.$ What amount of goodwil mpainment, it any, should Ancadia

recognize on its $2024$ income statement?