Brookfield Corporation acquired Sunset Industries on January 1, 2015 for $5,500,000, and recorded goodwill of $900,000 as a result of that purchase. At December 31, 2015, the Sunset Industries Division had a fair value of $4,700,000. The net identifiable assets of the Division (excluding goodwill) had a fair value of $4,000,000 at that time. What amount of loss on impairment of goodwill should Brookfield Corporation record in 2015? a) $0 b) $200,000 c) $400,000 d) $700,000

Brookfield Corporation acquired Sunset Industries on January 1, 2015 for $5,500,000, and recorded goodwill of $900,000 as a result of that purchase. At December 31, 2015, the Sunset Industries Division had a fair value of $4,700,000. The net identifiable assets of the Division (excluding goodwill) had a fair value of $4,000,000 at that time. What amount of loss on impairment of goodwill should Brookfield Corporation record in 2015? a) $0 b) $200,000 c) $400,000 d) $700,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 11PB: On May 1, 2015, Zoe Inc. purchased Branta Corp. for $15,000,000 in cash. They only received...

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