Intangible Assets and Goodwill: Amortization and Impairment

In early $2021,$ Bowen Company acquired a new business unit in a merger. Allocation of the acquisition cost resulted in fair values assigned as follows:

Intangible Asset Fair Value Estimated Value

Customer lists $$500,0005$ years

Developed technology $800,00010$ years

Internet domain name $1,300,000$ Indefinite

Goodwill$*6,200,000$ Indefinite

$*$ The goodwill is assigned entirely to the acquired reporting unit.

Impairment reviews at the end of $2021$ and $2022$ did not identify any impairment losses. After the business suffered a downturn during $2023,$ the year$-$end impairment review yielded the following information:

Customer lists are estimated to have undiscounted future cash flows of $$250,000$ and discounted future cash flows of $$180,000.$

Developed technology is estimated to have undiscounted future cash flows of $$500,000$ and discounted future cash flows of $$420,000.$

The internet domain name is estimated to have undiscounted future cash flows of $$1,000,000$ and discounted future cash flows of $$750,000.$ Qualitative assessment indicates that it is more likely than not that the internet domain name is impaired

Because of the economic downturn, Bowen bypassed qualitative assessment of the business unit. The acquired business unit has a fair value of $$17,000,000,$ and a carrying amount of $$19,000,000,$ after amortization but before possible impairment of identifiable intangibles.

Required

Determine Bowen$$s amortization expense and impairment write$-$offs for $2023,$ following U$.$S$.$ GAAP. Intangible Assets and Goodwill: Amortization and Impairment

In early $2021,$ Bowen Company acquired a new business unit in a merger. Allocation of the acquisition cost resulted in fair values assigned as follows:

The goodwill is assigned entirely to the acquired reporting unit.

Impairment reviews at the end of $2021$ and $2022$ did not identify any impairment losses. After the business suffered a downturn during $2023,$ the year$-$end impairment

review yielded the following information:

Customer lists are estimated to have undiscounted future cash flows of $$250,000$ and discounted future cash flows of $$180,000.$

Developed technology is estimated to have undiscounted future cash flows of $$500,000$ and discounted future cash flows of $$420,000.$

The internet domain name is estimated to have undiscounted future cash flows of $$1,000,000$ and discounted future cash flows of $$750,000.$ Qualitative

assessment indicates that it is more likely than not that the internet domain name is impaired

Because of the economic downturn, Bowen bypassed qualitative assessment of the business unit. The acquired business unit has a fair value of $$17,000,000,$ and

a carrying amount of $$19,000,000,$ after amortization but before possible impairment of identifiable intangibles.

Required

Determine Bowen's amortization expense and impairment write$-$offs for $2023,$ following U$.$S$.$ GAAP.

Determine Bowen's amortization expense and impairment write$-$offs for $2023,$ following U$.$S$.$ GAAP.$$