Exercise 11-31 (Algo) Impairment; goodwill (LO11-8] [The following information applies to the questions displayed below.] In 2019, Alliant Corporation acquired Centerpoint Inc. for $370 million, of which $60 million was allocated to goodwill. the end of 2021, management has provided the following information for a required goodwill impairment test: Fair value of Centerpoint Inc. Book value of Centerpoint's net assets (excluding goodwill) Book value of Centerpoint's net assets (including goodwill) $282 million 250 million 310 million Exercise 11-31 (Algo) Part 2 - Determine the amount of the impairment loss assuming that the fair value of Centerpoint is $342 million. (Enter your answ millions (i.e., 10,000,000 should be entered as 10)). Answer is complete but not entirely correct.
Exercise 11-31 (Algo) Impairment; goodwill (LO11-8] [The following information applies to the questions displayed below.] In 2019, Alliant Corporation acquired Centerpoint Inc. for $370 million, of which $60 million was allocated to goodwill. the end of 2021, management has provided the following information for a required goodwill impairment test: Fair value of Centerpoint Inc. Book value of Centerpoint's net assets (excluding goodwill) Book value of Centerpoint's net assets (including goodwill) $282 million 250 million 310 million Exercise 11-31 (Algo) Part 2 - Determine the amount of the impairment loss assuming that the fair value of Centerpoint is $342 million. (Enter your answ millions (i.e., 10,000,000 should be entered as 10)). Answer is complete but not entirely correct.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Exercise 11-31 (Algo) Impairment; goodwill [L011-8]
[The following information applies to the questions displayed below.]
In 2019, Alliant Corporation acquired Centerpoint Inc. for $370 million, of which $60 million was allocated to goodwill. At
the end of 2021, management has provided the following information for a required goodwill impairment test:
Fair value of Centerpoint Inc.
Book value of Centerpoint's net assets (excluding goodwill)
Book value of Centerpoint's net assets (including goodwill)
$282 million
250 million
310 million
Exercise 11-31 (Algo) Part 2
2. Determine the amount of the impairment loss assuming that the fair value of Centerpoint is $342 million. (Enter your answer in
millions (i.e., 10,000,000 should be entered as 10)).
X Answer is complete but not entirely correct.
Impairment loss
28 Xmillion](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3e1bfd6a-3cb6-4031-858f-4ba8da8545b1%2Fc0d328e9-4708-4f18-9be3-3b8d68c928b0%2Fglzkufw_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 11-31 (Algo) Impairment; goodwill [L011-8]
[The following information applies to the questions displayed below.]
In 2019, Alliant Corporation acquired Centerpoint Inc. for $370 million, of which $60 million was allocated to goodwill. At
the end of 2021, management has provided the following information for a required goodwill impairment test:
Fair value of Centerpoint Inc.
Book value of Centerpoint's net assets (excluding goodwill)
Book value of Centerpoint's net assets (including goodwill)
$282 million
250 million
310 million
Exercise 11-31 (Algo) Part 2
2. Determine the amount of the impairment loss assuming that the fair value of Centerpoint is $342 million. (Enter your answer in
millions (i.e., 10,000,000 should be entered as 10)).
X Answer is complete but not entirely correct.
Impairment loss
28 Xmillion
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