In 2016, Alliant Corporation acquired Centerpoint, Inc. for $300 million, of which $50 million was allocated to goodwill. At the end of 2018, management has provided the following information for a required goodwill impairment test:Fair value of Centerpoint, Inc. $220 millionFair value of Centerpoint’s net assets (excluding goodwill) 200 millionBook value of Centerpoint’s net assets (including goodwill) 250 millionRequired:1. Determine the amount of the impairment loss.2. Repeat requirement 1 assuming that the fair value of Centerpoint is $270 million

Q: On January 1, 2019, EXO Corp. purchased BTS Inc. at a cost that resulted in recognition of goodwill…

A: Goodwill: Generally speaking, goodwill is an intangible asset that is related to the acquisition of…

Q: Armstrong Company acquired Hall Corporation in 2015 and recognized the goodwill of $700,000. Before…

A:

Q: UNO COMPANY purchased equipment for P5,000,000 on January 1, 2013 with a useful life of ten years…

A: Impairment of assets means reducing the book value  of assets when carrying amount is more than…

Q: amount should be reported as goodwill

A: Goodwill should be recognized as an intangible asset if money or money's worth has been paid for it.…

Q: In which of the following situations would Martinez Indus-tries include goodwill in its balance…

A: Goodwill:   Goodwill is an intangible asset. It is defined as the excess of cost of an acquired…

Q: On January 1, 2013, Porsche Company acquired the net assets of Saab Company for $450,500 cash. The…

A: Solution: Introduction: Impairment is a diminishing value or a state of ability or fact which occurs…

Q: Their goodwill and intangible assets, net decreased from 2020 to 2021 which is the sum of the…

A: The value of Goodwill of General motors declines in 2021 to 5087 from 5230 in 2020. The decrease is…

Q: UNDOS COMPANY purchased equipment for P5,000,000 on January 1, 2013 with a useful life of ten years…

A: When an assets cease to be used in regular use and held for sale , then it should be carry at fair…

Q: In year 2012 S Company had: Excess of fair value over carrying value of $70,000 Excess of carrying…

A: Working Note

Q: Carrying value of SCo. Identifiable Net Assets $1,160,000 Fair Value S Co. Identifiable Net Assets…

A: Solution: Carrying value in 2011 = 1160000 Fair value in 2011 = 1190000 Hence fair value is higher…

Q: Robinson Company purchased Franklin Company at a price of $3,950,000. The fair market value of the…

A: Introduction: Goodwill is an intangible asset related to the purchase of a business by another. When…

Q: Harms acquires Blake on January 1, 2015, for $1,000,000. The amount of $800,000 is assigned to…

A:

Q: 1. Prepare any necessary journal entries associated with the three classes of assets for the year…

A: Hey there since you have posted multiple questions, we can answer only first question,  please…

Q: In 2020, Gain Inc. purchased all of the assets of Cookie’s business. As part of this purchase, Gain…

A: Step 1 Amortization typically refers to the process of writing down the value of an intangible asset…

Q: ollowing is information about the reporting unit of Y company as of 12/31/19 The fair value of the…

A: Impairment of assets means reducing the book value  of assets when carrying amount is more than…

Q: In 2022, Alliant Corporation acquired Centerpoint Incorporated for $300 million, of which $50…

A: An intangible asset connected to the acquisition of one business by another is goodwill. In…

Q: In 2022, Alliant Corporation acquired Centerpoint Incorporated for $339 million, of which $59…

A: Goodwill is the brand name of the entity. Goodwill helps an entity to earn more than its…

Q: Gulf Company purchases Arab Company for $900,000 cash on January 2, 2019. The book value of Arab…

A: Goodwill refers to an intangible asset that is usually associated with the acquisition of a company…

Q: The original cost of the properties was P9,000,000 each when they were  acquired on January 1, 2015.…

A: The depreciation on investment property is recognized at the fair value over the remaining useful…

Q: Required: a)  Prepare the journal entry to account for any impairment of goodwill. b)  Assume…

A: Goodwill: Goodwill is an intangible asset. It is defined as the excess of cost of an acquired…

Q: s identified its non-current assets consist of three classes: goodwill, land and plant. Details of…

A: Depereciation of plant =$300,000/10 =$300,000 per year  =$1,500 per month book value of plant as on…

Q: Berrie Electric Inc. has the following amounts included in its general ledger at December 31, 2023:…

A: Intangible assets is one of the important section of balance sheet. It means those assets which can…

Q: Oriole Industries purchased Pharoah, Inc. on June 30, 2014 and recorded goodwill of $68,200 on this…

A: Goodwill is an intangible asset that is associated with the purchase of one company by another. It…

Q: purchased Y Company at a cost that resulted In recognition of goodwill at 10 million having an…

A: there are two types of assets one of them is intangible assets and other is tangible assets.…

Q: On January 1, 2020, Faye Company purchased Che Company at a cost that resulted in recognition of…

A: As per IFRS on Intangible Assets and Goodwill, Expenditure associated with the following costs is…

Q: On January 1, 2011, Barbidel Company purchased another entity at a cost of P9,000,000. The net…

A: Amount of Goodwill on January 1, 2011 = Purchase costs - fair value of net assets = P9,000,000 -…

Q: Carla Vista Electric Inc. has the following amounts included in its general ledger at December 31,…

A: Intangible assets are assets with no physical appearance which have value to the organization.…

Q: Destin Company recently acquired several businesses and recognized goodwill in each acquisition.…

A: Goodwill is recorded by an organization when it acquires assets and liabilities by paying price that…

Q: COMPUTE THE GOODWILL.

A: Step 1 Since as per given case, the acquirer has acquired all assets and liabilities or acquired…

Q: On December 31, 2020, Blue Corporation paid $5561500 to. of the purchase. On December 31, 2022, Blue…

A: Goodwill is recorded on the balance sheet as an asset, and its value is reviewed periodically for…

Q: On October 20, 2018, Toffeenut Project Company purchased all the assets and assumed all the…

A: Goodwill is an intangible asset that is recognized during the process of a company buying another…

Q: In2018 Martin Corp.acquired and recorded good will of $45 million .martin consider Glynco a separate…

A: Goodwill is an intangible asset that is for generating super-profits in the future that cannot be…

Q: valuation of an acquired trademark was incomplete. PHINEAS used $1,000,000 as provisional fair value…

A: IFRS 3           It stands for International Financial Reporting Standard 3 which states the…

Q: In 2023, Hanson Incorporated had acquired Peridot Corporation and recorded goodwill of $335 million…

A: Impairment loss of goodwill occurs when the carrying amount of a company's goodwill exceeds its…