On September 1, 2019, Undisputed Corporation acquired TLC Enterprises for a cash payment of $850,000. At the time of purchases, TLCs balance sheet showed assets of $620,000, liabilities of $240,000, and owner's equity of $420,000. The fair value of TLCs assets is estimated to be $970,000.

A: Compute the amount of goodwill acquired by Undisputed Corporation.

On September 30th, 2020 assume the TLC Enterprises Division of Undisputed Corporation has the following balance sheet. Assets (including goodwill): $1,030,000 350,000= 680k net asset Liabilities: 350,000 Equity: 680,000

B: Based on the above information, Assuming the FMV of the division is $750,000, determine the Goodwill Impairment to be recorded (and prepare the journal entry)

C: Independently from B, now Assuming the FMV of the division is $650,000 determine the Goodwill impairment to be recorded (and prepare the journal entry)