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Determine the amount of goodwill impairment loss , if any, that should be recognized in the financial statements of Stephen Company. Determine the amount of

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Determine the amount of goodwill impairment loss, if any, that should be recognized in the financial statements of Stephen Company.

Determine the amount of goodwill impairment loss, if any, that should be recognized in the financial statements of Stephen Company, if the fair value of Curry reporting unit is $450 .

Stephen Company is a public U.S. company that includes the Curry reporting unit, which has $620 of recognized net assets on the date it conducts an impairment test. The carrying amount for goodwill is equal to $190. On the date of the impairment test, the fair value of the Curry reporting unit is equal to $400. At the date of the impairment test, the fair value of Curry's identifiable net assets is $360, including the fair value of two unrecognized internally developed intangible assets. These internally developed, unrecognized intangibles include a patent (FV = $50) and in-process research and development (FV = $70). The Company decided to bypass the optional qualitative assessment and directly perform the quantitative impairment test as required by FASB ASC 350 "Intangibles - Goodwill and Other." Carrying Amount Fair Value Tangible assets, net $70 $80 Recognized intangible assets, net 350 160 Goodwill 200 Unrecognized intangible assets 0 120 Total $620 $360

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