Question
The following information for the Big Dog Pet Food reporting unit as of December 31, 2009 is provided: Fair market value of the Big Dog
The following information for the Big Dog Pet Food reporting unit as of December 31, 2009 is provided:
Fair market value of the Big Dog Pet Food reporting unit $400,000
Book value of the net assets of the Big Dog Pet Food reporting unit $450,000
Fair market value of the net assets of the Big Dog Pet Food reporting unit $350,000
Goodwill assigned to the Big Dog Pet Food reporting unit $120,000
Is goodwill impaired? Show your computations to determine if goodwill is impaired. If it is, what adjustment would be needed? (Show debit and credit)
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Audit Proofing Your Return
Authors: Jr. Wade, Jack Warren
1st Edition
002622240X, 978-0026222402
