In 2018, Martin Corp. acquired Glynco and recorded goodwill of $45 million. Martinconsiders Glynco a separate reporting unit. By the end of 2021, the net assets (includinggoodwill) of Glynco are $320 million and its estimated fair value is $260 million. Theamount of the impairment loss that Martin would record for goodwill at the end of 2021is: A) $0. B) $60 million. C) $45 million. D) $15 million.

The above answer can be explained as under - Impairment loss = Carrying amount of the goodwill -…

Answered: In 2018, Martin Corp. acquired Glynco…

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Chapter11: Long-term Assets

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

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IIn 2018, Martin Corp. acquired Glynco and recorded goodwill of $100 million. Martin considers Glynco a separate reporting unit. By the end of 2021, the net assets (including goodwill) of Glynco are $320 million and its estimated fair value is $260 million. The amount of the impairment loss that Martin would record for goodwill at the end of 2021 is:
Tamara Corporation acquired XW Products on January 1, 2020 for $6,400,000, and recorded goodwill of $1,200,000 as a result of that purchase. At December 31, 2021, the XW Products Division had a fair value of $5,450,000. The net identifiable assets of the Division (excluding goodwill) had a fair value of $4,745,000 at that time. What amount of loss on impairment of goodwill should Tamara record in 2021? 16.
Manara Corporation acquired Sama Products on January 1, 2019 for $4,000,000, and recorded goodwill of $750,000 as a result of that purchase. At December 31, 2019, Sama Products had a carrying value of $3,500,000, Also, it is determined that the current recoverable amount value of the Sama division is $2,900,000 at that time. What amount of loss on impairment of goodwill should Manara record in 20197 OA S710,000 OB $600,000 OC S480,000 OD S0
In 2019, Alliant Corporation acquired Centerpoint Inc. for $300 million, of which $50 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. $ 220 million Book value of Centerpoint’s net assets (excluding goodwill) 200 million Book value of Centerpoint’s net assets (including goodwill) 250 million 1. Determine the amount of the impairment loss. 2. Determine the amount of the impairment loss assuming that the fair value of Centerpoint is $270 million.
In2018 Martin Corp.acquired and recorded good will of $45 million .martin consider Glynco a separate reporting unit.by the end of 2021,the assets (including goodwil of Glynco are $320 milion and its estimated fair value is $260million.the amount of the impairment loss that martin would record for goodwill at the end of 2021 is:) 1) $0. 2)$60Million. 3)$45 Million. 4)$15Million.
In 2019, Alliant Corporation acquired Centerpoint Inc. for $300 million, of which $50 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.$220million Book value of Centerpoint’s net assets (excluding goodwill) 200million Book value of Centerpoint’s net assets (including goodwill) 250million Determine the amount of the impairment loss
On June 30, 2020, Happee Inc. purchased goodwill of P125,000 when it acquired the net assets of Beam Corp. During 2020, Happee incurred additional cost of developing the goodwill, by training Beam employees (P50,000) and hiring additional Beam employees (P25,000). How much should Happee report as goodwill on its December 31, 2020 Financial Position?
Following is information about the reporting unit of Y company as of 12/31/19 The fair value of the reporting unit of Y company is $310,000 and the fair value of identifiable net assets excluding goodwill is $270,000. The total carrying value of the unit is $320,000. The carrying value of identifiable net assets excluding goodwill is $260,000. The carrying value of goodwill is $60,000. Required: compute the goodwill impairment loss if any for 2019. Show work $10,000 $20.000 $40,000 $0
In 2019, Alliant Corporation acquired Centerpoint Inc. for $300 million, of which $50 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. $220millionBook value of Centerpoint’s net assets (excluding goodwill) 200millionBook value of Centerpoint’s net assets (including goodwill) 250million Required:1. Determine the amount of the impairment loss.2. Repeat requirement 1 assuming that the fair value of Centerpoint is $270 million.
An entity had the following events and transactions during 2020:- Depreciation for 2019 was understated by P500,000- A litigation settlement resulted in a loss of P2,000,000- The inventory on December 31, 2018 was overstated by P800,000- The entity disposed of a recreational division at a loss P1,500,000- The income tax rate is 30%What total amount of loss should be included in income from continuing operations for 2020? a. 2,000,000 c. 3,500,000 b. 1,400,000 d. 2,450,000 EXPLAIN THE ANSWER.
Barbay Ltd has two divisions. It acquired one of them, Tibay Products, on January 1, 2022 for $400,000, and recorded goodwill of $50,750 as a result of that purchase. If at December 31, 2022, Tibay Products will have a recoverable amount of $370,000 and carrying value of its net assets of $355,000 (including goodwill). What amount of loss on impairment of goodwill should Barbay Ltd record in 2022, if any? $Answer
Wildhorse Corporation acquired End-of-the-World Products on January 1, 2020 for $6250000, and recorded goodwill of $1170000 as a result of that purchase. At December 31, 2021, the End-of-the-World Products Division had a fair value of $4580000. The net identifiable assets of the Division (including goodwill) had a carrying value of $5290000 at that time. What amount of loss on impairment of goodwill should Wildhorse record in 2021?

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