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Req 1 and 2 Req3 If an impairment loss is required, prepare the journal entry to record the loss. (If no entry is required for
Req 1 and 2 Req3 If an impairment loss is required, prepare the journal entry to record the loss. (If no entry is required for a transaction journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as View transaction list Journal entry worksheet Record the impairment loss. Note: Enter debits before credits. Event General Journal Debit Credit Record entry Clear entry View general journal On May 28, 2021, Pesky Corporation acquired all of the outstanding common stock of Harman, Inc., for $500 million. The fair value of Harman's identifiable tangible and intangible assets totaled $568 million, and the fair value of liabilities assumed by Pesky was $142 million. Pesky performed a goodwill impairment test at the end of its fiscal year ended December 31, 2021. Management has provided the following information: Fair value of Harman, Inc. Fair value of Harman's net assets (excluding goodwill) Book value of Harman's net assets (including goodwill) $480 million 420 million 506 million Required: 1. Determine the amount of goodwill that resulted from the Harman acquisition. 2. Determine the amount of goodwill impairment loss that Pesky should recognize at the end of 2021, if any. 3. If an impairment loss is required, prepare the journal entry to record the loss. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Determine the amount of goodwill that resulted from the Harman acquisition and the amount of goodwill impairment loss that Pesky should recognize at the end of 2021, if any. (Negative amounts should be indicated by a minus sign. Enter your answers in millions (i.e., 10,000,000 should be entered as 10)). Goodwill million Goodwill impairment loss million
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