$At\frac{12}{31}\frac{?}{\text{Y}\text{e}\text{a}\text{r}8},$ before any adjusting entries, Company has these balances:

This content $is$ copyrighted.

$$80,000$ Trademark.

$$150,000$ Goodwill

The trademark was purchased for $$80,000on\frac{1}{1}\frac{?}{\text{Y}\text{e}\text{a}\text{r}8.}It$ has $a10$ year legal life. Company plans $to$ renew the trademark for $an$ indefinite amount $of$ years.

The goodwill $on$ Company's balance sheet relates $to$ a business acquisition $3$ years ago. The acquired business operates $as$ the "South" division $of$ Company. The South division qualifies $as$ a reporting unit $of$ Company.

$At\frac{12}{31}\frac{?}{\text{Y}\text{e}\text{a}\text{r}8},$ Company has determined the following:

The trademark has a fair value $of$ $$97,000.$

The South Division has a fair value $of$ $$2,000,000.$ The carrying value $(book$ value$)of$ the South Division $at\frac{12}{31}\frac{?}{\text{Y}\text{e}\text{a}\text{r}8}is$ $$2,180,000.$