On 31/6/2016, DH Ltd acquired 80% of the shares in CH Ltd. On that date, the equity
Question:
On 31/6/2016, DH Ltd acquired 80% of the shares in CH Ltd. On that date, the equity of LH Ltd comprised:
$'000
Share capital 700
Retained earnings 400
Equity 1,100
At acquisition, the book value of the assets and liabilities of LH Ltd were at fair value, except for some non-depreciable assets (included under 'Other non-current assets' and considered to be part of net identifiable assets) that had a book value of zero and where UH assessed their fair value to be $190,000. There has been no change to the assessed value of these assets since acquisition.
At the most recent balance date (31/6/2020), the returns from DH Ltd were not as high as expected. The directors of CH Ltd considered that acquired goodwill had been impaired by $100,000.
What is the goodwill at 31/6/2020