VII. Goodwill On May 31, 2021, Armstrong Company paid $3,500,000 to acquire Hall Corporation. Hall reported the following balance sheet at the time of the acquisition: Current assets Noncurrent assets $ 900,000 2,700,000 Current liabilities Long-term liabilities Stockholders' equity Total liabilities and stockholders' equity $ 600,000 500,000 2,500,000 Total assets $3,600.000 $3.600.000 It was determined at the date of the purchase that the fair value of the identifiable net assets of Hall was $3,100,000. At December 31, 2021, Hall reports the following balance sheet information: Current assets Noncurrent assets (including goodwill recognized in purchase) Current liabilities Long-term liabilities Net assets $ 800,000 2,400,000 (700,000) (500,000) $2.000.000 Instructions (a) Compute the amount of goodwill recognized, if any, on May 31, 2021. (b) Assume that the fair value of the Hall division is $1,950,000 on December 31, 2021. Prepare the journal entry to record the impairment loss, if any, on December 31, 2021