Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting units. In its qualitative assessment, one particular reporting unit, Sellers, emerged as a candidate for possible goodwill impairment. Sellers had recognized net assets with carrying amounts totaling $1,087, including goodwill of $580. Seller's reporting unit fair value is assessed at $1,036 and includes two internally developed unrecognized intangible assets (a patent and a customer list with fair values of $242 and $108, respectively). The following table summarizes current financial information for the Sellers reporting unit: Carrying Amounts Fair Values Tangible assets, net $157 $185 Recognized intangible assets, net Goodwill 350 389 580 ? Unrecognized intangible assets 0 350 a. Determine the amount of any goodwill impairment for Alomar's Sellers reporting unit. b. After recognition of any goodwill impairment loss, what are the reported carrying amounts for the following assets of Alomar's reporting unit Sellers?
Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting units. In its qualitative assessment, one particular reporting unit, Sellers, emerged as a candidate for possible goodwill impairment. Sellers had recognized net assets with carrying amounts totaling $1,087, including goodwill of $580. Seller's reporting unit fair value is assessed at $1,036 and includes two internally developed unrecognized intangible assets (a patent and a customer list with fair values of $242 and $108, respectively). The following table summarizes current financial information for the Sellers reporting unit: Carrying Amounts Fair Values Tangible assets, net $157 $185 Recognized intangible assets, net Goodwill 350 389 580 ? Unrecognized intangible assets 0 350 a. Determine the amount of any goodwill impairment for Alomar's Sellers reporting unit. b. After recognition of any goodwill impairment loss, what are the reported carrying amounts for the following assets of Alomar's reporting unit Sellers?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
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![Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting units. In its qualitative assessment,
one particular reporting unit, Sellers, emerged as a candidate for possible goodwill impairment. Sellers had recognized net assets with
carrying amounts totaling $1,087, including goodwill of $580. Seller's reporting unit fair value is assessed at $1,036 and includes two
Internally developed unrecognized intangible assets (a patent and a customer list with fair values of $242 and $108, respectively). The
following table summarizes current financial information for the Sellers reporting unit:
Carrying
Fair
Amounts
Values
Tangible assets, net
$157
$185
Recognized intangible assets, net
Goodwill
350
389
580
2
Unrecognized intangible assets
0
350
a. Determine the amount of any goodwill impairment for Alomar's Sellers reporting unit.
b. After recognition of any goodwill impairment loss, what are the reported carrying amounts for the following assets of Alomar's
reporting unit Sellers?
a. Goodwill impairment loss
b. Tangible assets, net
Goodwill
Patent
Customer list
Amounts](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F82a55757-d2b3-426e-a054-70e5fa89af6d%2F9e5c5e30-4d83-4f05-a66c-882c975b4381%2Fteiqsd_processed.png&w=3840&q=75)
Transcribed Image Text:Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting units. In its qualitative assessment,
one particular reporting unit, Sellers, emerged as a candidate for possible goodwill impairment. Sellers had recognized net assets with
carrying amounts totaling $1,087, including goodwill of $580. Seller's reporting unit fair value is assessed at $1,036 and includes two
Internally developed unrecognized intangible assets (a patent and a customer list with fair values of $242 and $108, respectively). The
following table summarizes current financial information for the Sellers reporting unit:
Carrying
Fair
Amounts
Values
Tangible assets, net
$157
$185
Recognized intangible assets, net
Goodwill
350
389
580
2
Unrecognized intangible assets
0
350
a. Determine the amount of any goodwill impairment for Alomar's Sellers reporting unit.
b. After recognition of any goodwill impairment loss, what are the reported carrying amounts for the following assets of Alomar's
reporting unit Sellers?
a. Goodwill impairment loss
b. Tangible assets, net
Goodwill
Patent
Customer list
Amounts
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