January 2019, cookie Shoes acquired 60% of the stock of candy Footwear. cookie uses the complete equity method to account for its investment in candy. candy's assets and liabilities were reported at amounts approximating fair value, except for previously unreported indefinite life identifiable intangible assets valued at $10,000. These intangible assets were impaired by $2,000 during the years 20192021 and are impaired by $500 during 2022. The goodwill recognized for this acquisition was $56,500, split between cookie and the NCI in a 70:30 ratio. There has been no goodwill impairment during 2019-2021, but testing reveals goodwill impairment of $1,500 in 2022. candy sells merchandise to cookies (upstream sales) on a regular basis at a 25% markup on cost. Info on sales activities is as follows: Sales price of merchandise sold to cookie in 2022$18,000 Merch. in cookie's 2022 begin. inventory, purchased from candy, at cost to cookie Merch. in cookie's 2022 ending inventory, purchased from candy, at a cost to cookie 1,500 It is now December 31,2020 , four years since the acquisition. The December 31,2022 , trial balances of cookie and candy appear in the consolidation working paper below and journal entries January 2019, cookie Shoes acquired 60% of the stock of candy Footwear. cookie uses the complete equity method to account for its investment in candy. candy's assets and liabilities were reported at amounts approximating fair value, except for previously unreported indefinite life identifiable intangible assets valued at $10,000. These intangible assets were impaired by $2,000 during the years 20192021 and are impaired by $500 during 2022. The goodwill recognized for this acquisition was $56,500, split between cookie and the NCI in a 70:30 ratio. There has been no goodwill impairment during 2019-2021, but testing reveals goodwill impairment of $1,500 in 2022. candy sells merchandise to cookies (upstream sales) on a regular basis at a 25% markup on cost. Info on sales activities is as follows: Sales price of merchandise sold to cookie in 2022$18,000 Merch. in cookie's 2022 begin. inventory, purchased from candy, at cost to cookie Merch. in cookie's 2022 ending inventory, purchased from candy, at a cost to cookie 1,500 It is now December 31,2020 , four years since the acquisition. The December 31,2022 , trial balances of cookie and candy appear in the consolidation working paper below and journal entries