Write a report to management, specifically explaining: 1. The purpose of

Write a report to management, specifically explaining:
1. The purpose of the impairment test
2. How the existence of goodwill will affect the impairment test
3. The basic steps to be followed in applying the impairment test.
Goodwill
Goodwill is an important concept and terminology in accounting which means good reputation. The word goodwill is used at various places in accounting but it is recognized only at the time of a business combination. There are generally two types of...