1. Procter & Gamble Company reported impairment losses for the impairment of goodwill and other intangible assets in 2019. Referring to Procter & Gamble 's 2020 annual report, address the following:

1. State the amounts of impairment losses of goodwill and other intangible assets.

(3.5 marks)

2. Which cash generating unit suffered an impairment loss related to goodwill and other intangible asset? (1.5 mark)
3. What were the underlying business reasons that required Procter & Gamble to record a goodwill impairment in 2019? (5 marks)
4. How did Procter & Gamble reflect the 2019 goodwill impairment in its income statement and cash flow statement? (3 marks)
5. Which method did Procter & Gamble use in preparing its cash flow statement? Provide a proof for your answer. (2 marks)
6. Almost all businesses have been badly affected by the spread of Covid-19 in 2020. Nevertheless, Procter & Gamble's 2020 annual report shows that net income in 2020 is significantly higher than net income in 2019. Give an explanation for this situation and provide evidence from annual report. (3 marks)

Write your answer in the space provided in the following table:

	Answer	Page(s) in Annual report
Amounts of impairment losses
cash generating unit(s) suffered an impairment loss of goodwill
the underlying business reasons that required Procter & Gamble to record a goodwill impairment
How did Procter & Gamble reflect the 2020 goodwill impairment in its income statement and cash flow statement?
Which method did Procter & Gamble use in preparing its cash flow statement? Proof your answer.
Give an explanation for this situation and provide evidence from annual report.

*** Answers not provided in a tabular format will be disregarded

Note: Kindly refer to the Procter & Gamble financial statements for the year 2019 and 2020 for solution. Because a link cannot be posted here becasue of copyright issues