We have reviewed the topic of Goodwill on the Balance Sheet which is created when a company acquires another and pays more than the market value of the acquired company's net assets.

What I want you to address in this discussion board are the following:

1. What type of "event" results in goodwill being recorded on a company's balance sheet?
2. How is goodwill evaluated to determine whether this specific asset is impaired? If it is deemed to be impaired, what actions does a company need to take?
3. How do you view goodwill on the balance sheet - specifically, if certain levels of it would cause concern, identify what level of goodwill would cause you concern and why?
4. If it would not concern you regardless of the amount of goodwill on the balance sheet, explain why.