Company owns a trademark that was purchased for $340,000 several years ago. Company plans to renew the trademark for an indefinite amount of years. Company also has goodwill that was resulted from a business purchase several years ago. The purchased business is operating as the "Lakewood division" of Company and qualifies as a reporting unit. At 12/31/Year6, before and adjusting entries, Company's accounts show the following amounts: $340,000 Trademark. $700,000 Goodwill.

At 12,31,Year6, Company has determined that the trademark has a fair value of $420,000 and the Lakewood Division has a fair value of $1,600,000. The carrying value of the Lakewood Division at 12/31/Year6 is $1,702,000.

Record any entries that might be needed on December 31, Year6, regarding:

A. trademark

B. goodwill.

Show any computations after the entries. State N/A if no entry is needed.

Label the entries clearly as part A or part B.