Instructions Grier purchased Walters Company several years ago. Walters become a reporting unit of Griers. At the end of 2020. Grier had a net book value of $16 million which includes $400.000 of goodwill. A goodwill impairment test is done as part of the year-end closing process. Grier estimates the fair value of Walters to be $1.4 million. The fair value of Walters identifiable net assets, excluding goodwill, is $1.6 million Required: 1. Determine if goodwill should be impaired. 2. Prepare the journal entry required for the impairment, if necessary Chart of Accounts CHART OF ACCOUNTS Grier General Ledger ASSETS REVENUE 111 Cash 411 Sales Revenue A.Em --- General Ledger ASSETS REVENUE 111 Cash 411 Sales Revenue 121 Accounts Receivable 141 Inventory EXPENSES 152 Prepaid Insurance 500 Cost of Goods Sold 181 Equipment 511 Insurance Expense 184 Goodwill 512 Utilities Expense 189 Accumulated Depreciation 521 Salaries Expense 532 Bad Debt Expense LIABILITIES 540 Interest Expense 211 Accounts Payable 541 Depreciation Expense 231 Salaries Payable 559 Miscellaneous Expense 250 Unearned Revenue 891 Impairment Loss on Goodwill 261 Income Taxes Payable 910 Income Tax Expense EQUITY 311 Common Stock 331 Retained Earnings First Question 1. Determine if goodwill should be impaired. O Yes O No General Journal 2. Prepare the foumal entry required for the impairment if necessary on December 31 General Journal 2. Prepare the journal entry required for the impairment, if necessary on December 31. General Journal Instructions PAGE 1 GENERAL JOURNAL DATE ACCOUNT TITLE POST REF DEBIT CREDIT