Ayayai Corporation purchased Johnson Company 3 years ago and at that time recorded goodwill of $300,000. The Johnson Division's net assets, including the goodwill, have a carrying amount of $650,000. The fair value of the division is estimated to be $620,000and the implied goodwill is $270,000.

How would you create a journal entry to record impairment of the goodwill?

Account Titles and Explanation Debit Credit