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could you show the actual entries in table format please 3-On July 1, 2019, Captain Company paid $3,000,000 for all of the common stock of
could you show the actual entries in table format please
3-On July 1, 2019, Captain Company paid $3,000,000 for all of the common stock of Bright Sunshine, Inc. Bright Sunshine's identifiable net assets had a fair value of $2,850,000 at that date. After acquisition, Bright Sunshine was identified as a reporting unit and the goodwill from the acquisition was assigned to that reporting unit. Required: a. Compute the amount of goodwill, if any, from the acquisition. b. Over the remainder of the year, the new unit experienced significant operating losses, suggesting the need for testing of the goodwill for impairment. The fair value of the reporting unit was estimated to be $2,005,000 at December 31. Bright Sunshine's year-end balance sheet showed net assets of $2,100,000, including the goodwill. The fair value of the identifiable net assets of Bright Sunshine at year-end was $1,920,000. Prepare the required journal entry if you find that goodwill is impaired. Perform the pre-ASU 2017-04 quantitative two-step Goodwill impairment test and make the required journal entry for impairment, if necessary. c. Using the same information as above, perform the post-ASU 2017-04 quantitative Goodwill impairment test and make the required journal entry for impairment, if necessaryStep by Step Solution
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