Determine the amount of goodwill that prover should report in its current financial statement.

P1-33 Goodwill Assigned to Multiple Reporting Units The fair values of assets and liabilities held by three reporting units and other information related to the reporting units owned by Prover Company are as follows: Reporting Unit Cash & Receivables Inventory Land Buildings Equipment Accounts Payable Fair Value of Reporting Unit Carrying Value of Investment Goodwill Included in Carrying Value $ 30,000 60,000 20,000 100,000 140.000 40,000 400,000 420,000 70,000 $ 80,000 100,000 30,000 150,000 90,000 60,000 440,000 500,000 50,000 $ 20,000 40,000 10,000 80,000 50,000 10,000 265,000 290,000 40,000 Required a. Determine the amount, if any, that Prover should report as a goodwill impairment for the current period. b. Determine the amount of goodwill that Prover should report in its current financial statements. (a) The implied goodwill at year-end: 400,000 Unit A: Fair value of reporting unit Fair value of identities assets Fair value of accounts payable Fair value of net assets Implied goodwill at year-end 350,000 -40,000 -310,000 $90,000 440,000 Unit B: Fair value of reporting unit Fair value of identities assets Fair value of accounts payable Fair value of net assets Implied goodwill at year-end 450,000 -60,000 -390,000 $50,000 265,000 Unit C: Fair value of reporting unit Fair value of identities assets Fair value of accounts payable Fair value of net assets Implied goodwill at year-end 200,000 -10,000 -190,000 $75,000 Goodwill to be reported: Implied value of goodwill at year-end Carrying value of goodwill Goodwill to be reported at year-end A 90,000 70,000 70,000 B 50,000 50,000 50,000 C 75,000 40,000 40,000 Total 215,000 160,000 160,000