Having trouble with the consolidation.

On .January 1, Palisades, Inc.., acquired 100 percent of Sherwond Company's common stock for a fair value of $120,340,000 in cash and stock. The canying amounts of Sherwood's assets and llablittes equaled their fair values except for its equipment, which was undervalued by $534,000 and had a 10 -year remaining life. Palisades specializes in media distribution and viewed its acquisition of Sherwood as a strategic move into content ownership and creation. Pallsades expected both cost and revenue synergles from controlling Sherwood's artistic content (a large Iibrary of classic movies) and its sports programming specialty video operation. Accordingly. Palisades allocated all of Sherwood's assets and liabilities (including all $49,745,000 of goodwill recognized in the acquisition) to a newly formed operating segment appropriately designated as a reporting unit. However, Sherwood's assets have taken longer than anticipated to produce the expected synergies vith Palisades's operations. Accordingly. Palisades reviewed events and circumstances and concluded that Sherwood's tair value was likely less than its carrying amount. At year-end, Pallsades assessed the Sherwood reporting unit's falr value to $110,340,000. At December 31, Palisades and Sherwood submitted the following balances for consolidation. There were no intra-entity payables on that date. Alsn, Palisades had not yet recorded any goodwill impairment. a. What is the relevant test to determine whether goodwill is impaired? b. How did Palisades determine Sherwood's December 31 carrying amount of $120,372,600 ? e. At what amount should Palisades record an impairment loss for its Sherwood reporting unit for the year? d. What is consolidated net income for the year? e. What is the December 31 consolidated balance for goodviil? f. Prepare a consolldated worksheet for Pallsades and Sherwood (Palisades's trial balance should first be adjusted for any appropriate impairment lossi). Complete this question by entering your answers in the tabs below. Prepare a consolidated worksheet for Palisades and Sherwood (Palisades trial balance should first be adjusted for any appropriate impairment loss). (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount On .January 1, Palisades, Inc.., acquired 100 percent of Sherwond Company's common stock for a fair value of $120,340,000 in cash and stock. The canying amounts of Sherwood's assets and llablittes equaled their fair values except for its equipment, which was undervalued by $534,000 and had a 10 -year remaining life. Palisades specializes in media distribution and viewed its acquisition of Sherwood as a strategic move into content ownership and creation. Pallsades expected both cost and revenue synergles from controlling Sherwood's artistic content (a large Iibrary of classic movies) and its sports programming specialty video operation. Accordingly. Palisades allocated all of Sherwood's assets and liabilities (including all $49,745,000 of goodwill recognized in the acquisition) to a newly formed operating segment appropriately designated as a reporting unit. However, Sherwood's assets have taken longer than anticipated to produce the expected synergies vith Palisades's operations. Accordingly. Palisades reviewed events and circumstances and concluded that Sherwood's tair value was likely less than its carrying amount. At year-end, Pallsades assessed the Sherwood reporting unit's falr value to $110,340,000. At December 31, Palisades and Sherwood submitted the following balances for consolidation. There were no intra-entity payables on that date. Alsn, Palisades had not yet recorded any goodwill impairment. a. What is the relevant test to determine whether goodwill is impaired? b. How did Palisades determine Sherwood's December 31 carrying amount of $120,372,600 ? e. At what amount should Palisades record an impairment loss for its Sherwood reporting unit for the year? d. What is consolidated net income for the year? e. What is the December 31 consolidated balance for goodviil? f. Prepare a consolldated worksheet for Pallsades and Sherwood (Palisades's trial balance should first be adjusted for any appropriate impairment lossi). Complete this question by entering your answers in the tabs below. Prepare a consolidated worksheet for Palisades and Sherwood (Palisades trial balance should first be adjusted for any appropriate impairment loss). (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount