WebHelper Inc. acquired 100% of the outstanding stock of Silicon Chips Corporation (SCC) for $47.0 million, of which $19.0 million was allocated to goodwill. At the end of the current fiscal year, an impairment test revealed the following: fair value of SCC, $44.0 million; fair value of SCC's net assets (excluding goodwill), $33.0 million; book value of SCC's net assets (including goodwill), $48.0 million. What amount of impairment loss should WebHelper recognize? (Enter your answer in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).) Impairment loss million

WebHelper Inc. acquired 100% of the outstanding stock of Silicon Chips Corporation (SCC) for $47.0 million, of which $19.0 million was allocated to goodwill. At the end of the current fiscal year, an impairment test revealed the following: fair value of SCC, $44.0 million; fair value of SCC's net assets (excluding goodwill), $33.0 million; book value of SCC's net assets (including goodwill), $48.0 million. What amount of impairment loss should WebHelper recognize? (Enter your answer in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).) Impairment loss million

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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WebHelper Incorporated acquired 100% of the outstanding stock of Silicon Chips Corporation (SCC) for $46.4 million, of which $17.8 million was allocated to goodwill. At the end of the current fiscal year, an impairment test revealed the following: fair value of SCC, $48.2 million; book value of SCC’s net assets (including goodwill), $46.2 million. What amount of impairment loss should WebHelper report in its income statement? Note: Enter your answer in millions (i.e., 10,000,000 should be entered as 10).
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