what is the impairment of goodwill?

Chapter Learning Problems Help Save & Exit Check my 172 points Selected accounts of the Brecha Company are listed below. On January 1, 2019. the only intangible asset in the company's accounts was Goodwill. This was recorded in 2012 when the company acquired another company and paid $150,000 more than the fair market value of the net identifiable tangible assets acquired. For two years, the company amortized the costs on the basis of a 40 year life, charging a total of 57,500 (53.750 each year to an account called Amortization Expense-Goodwill. However, no amortization of goodwill has been recorded since 2013. Transactions and events that took place at the company during 2019 are given below. TRANSACTIONS AND OTHER INFORMATION a. On May 10, 2019, the company paid $94,500 to purchase a product formula. The formula is expected to have a useful life of seven years b. On July 5, the company paid $333,000 for a patent having a useful infe of 9 years. c. On September 22, the company purchased a unique computer program for $104,000. This program has an estimated useful life of four years. d. During the year the company recorded various cash expenditures of $110.000 for labor and supplies used in its research department. De entry December 31) e. At the end of 2019. the company reviewed the goodwill shown in the accounts. Rased on the profitability of activities acquired in purchasing the other business, the owners of the business think the goodwill has a value of $115,000 and should be of benefit for many more years Required: 1. Record the transactions for 2019 2. Record amortization of the intangible assets, where appropriate for the year ended December 31, 2019 3. Record impairment of assets, where appropriate, on December 31, 2019 Analyze Based on the transactions above, what is the total net book value of Brecha Company's intangible assets on December 31, 2019