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DGF Company provided the following information: Fair value of the reporting unit, including goodwill $2,600,000 Book value of reporting unit, excluding goodwill $2,200,000 Add: Carrying

DGF Company provided the following information:

Fair value of the reporting unit, including goodwill $2,600,000

Book value of reporting unit, excluding goodwill $2,200,000

Add: Carrying value of goodwill 250,000

Carrying value of the reporting unit, including goodwill $2,450,000

The qualitative assessment of goodwill is completed and it is more likely than not that goodwill is impaired. Describe the process for determining if DGF needs to record a goodwill impairment loss and prepare any required journal entries.

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