On April 1, 2021, Chase Supply purchased Sparky Electric Co. for $225,000 Sparky Electric Companys balance sheet at date of acquistion: Current assets 100,000 Noncurrent assets 280,000 Total assets 380,000 Current Liabilties 30,000 Long term liabilities 150,000 Stockholders' equity 200,000 Total Liabilities and Stockholders' equity 380,000 Fair value of selected assets of Sparky Electric at the date of purchase were as follows: Current assets 102,000 Noncurrent assets 260,000 Long term liabilities 140,000

Compute the amount of goodwill recognized by Chase Supply on the date of purchase. and prepare the journal entry for the acquistion.

Referring to the information in Problem 2.
Over the next 4 months of operations, the Sparky Division experienced significant
operating losses. It is expected that these losses will continue for the foreseeable future.
At December 31, 2021, Sparky Division reports the following balance sheet information:
Current assets			98,000
Noncurrent assets (including goodwill of 33,000)			260,000
Current Liabilties			(50,000)
Long term liabilities			(160,000)
NET ASSETS			148,000
It is determined that the fair value of the Sparky Division is now				135,000
Detemine the amount of the impairment loss, if any, to be recorded on December 31,
2021 and prepare the journal entry (if any).