On September 1, 2020, grouper corporation acquired tunneling limited for a cash payment of $850,600 at the time of purchase, Tunnelings statement of financial position showed assets of $901,800, liabilities of $455,300, and owners equity of $446,500 the fair value of Tunnelings assets is estimated to be $1,152,100 assume that grouper corporation is a public company and that the goodwill was allocated entirely to one cash generating unit (CGU) two years later, information about the CGU is as follows: carrying amount $3,476,500; value in use $3,401,200; and the fair value less costs to sell $3,296,200. 

Determine if the goodwill is impaired. 

Calculate the goodwill loss on impairment, if any.

Answer rating: 100% (QA)

1 Fair value of asset 1152100 Less Liabilities 455300 Net Asset value 696800 Purchase cost ... View the full answer