Question
DBR Co. acquired another business and correctly recorded $32,400 of goodwill on the purchase in 2018. On December 31, 2020, the net book value of
DBR Co. acquired another business and correctly recorded $32,400 of goodwill on the purchase in 2018. On December 31, 2020, the net book value of the business is $396,000 and the fair value of the business is $382,500.
Determine the amount of goodwill impairment loss (if any) on December 31, 2020.Assume no impairment losses were recognized on goodwill in prior periods.
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Managerial Accounting
Authors: Kurt Heisinger, Joe Ben Hoyle
2nd edition
1453375723, 1453375724, 978-1453375716
