Soft Limited acquired all the shares in Rain Limited for a $450,000 cash consideration on 1 July 2023. Goodwill of $22,000 was recognised at acquisition date. During the year for the period ending 30 June 2025, acquired goodwill was regarded as having become impaired by $17000. The appropriate consolidation adjustment in relation to the impairment will include the following line:

Select one:

a.

Dr Impairment loss $ 17,000

Cr Accumulated impairment $ 17,000

b.

Dr Impairment loss $ 17,000

Cr Goodwill $ 17,000

c.

Dr Impairment loss $ 22,000

Cr Accumulated impairment $ 22,000

d.

Dr Retained earnings (at 1 July 2022) $ 17,000

Cr Accumulated impairment $ 17,000

e.

Dr Retained earnings (at 1 July 2022) $ 22,000

Cr Goodwill $ 22,000

Clear my choice