Brief Exercise 12-7 Novak Corporation purchased Johnson Company 3 years ago and at that time recorded goodwill of $380,000. The Johnson Divisions net assets, including the goodwill, have a carrying amount of $760,000. The fair value of the division is estimated to be $910,000. Prepare Novak journal entry to record impairment of the goodwill. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Brief Exercise 12-7 Novak Corporation purchased Johnson Company 3 years ago and at that time recorded goodwill of $380,000. The Johnson Division's net assets, including the goodwill, have a carrying amount of $760,000. The fair value of the division is estimated to be $910,000. Prepare Novak journal entry to record impairment of the goodwill. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit Click if you would like to Show Work for this question: Open Show Work