On 31 December 20x7, P Ltd paid $250 million to acquire 30% of A Ltd when A Ltds net assets were represented by share capital of $300 million and retained profit of $300 million, except for an unrecognized brand that was deemed to have a fair value of $100 million. In 20x8, all of the goodwill on acquisition of A Ltd was deemed to be impaired. For 20x8 consolidation, the equity accounting journal entry for goodwill impairment should be:

Group of answer choices

None of the listed choices.

Dr Goodwill impairment $12 million; Cr Goodwill $12 million.

Dr Share of associates profit $40 million; Cr Investment in associate $40 million.

Dr Goodwill impairment $40 million; Cr Goodwill $40 million.

Dr Share of associates profit $12 million; Cr Investment in associate $12 million.