Question: 5. When a company assigns goodwill to a reporting unit acquired in a business combination, it must record an impairment loss if: a. The carrying

5. When a company assigns goodwill to a reporting unit acquired in a business combination, it must record an impairment loss if:

a. The carrying value of the reporting unit is less than the fair value of the reporting unit.

b. The fair value of the net identifiable assets held by a reporting unit decreases.

c. The fair value of the reporting unit is less than its carrying value and the carrying value of goodwill is more than the implied value of its goodwill.

d. The fair value of the reporting unit decreases.

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