In 2014, Alliant Corporation acquired Centerpoint Inc. for $300 million, of which $50 million was allocated to goodwill. At the end of 2016, management has provided the following information for a required goodwill impairment test: Fair value of Centerpoint, Inc. $220 million Fair value of Centerpoint’s net assets (excluding goodwill) 200 million Book value of Centerpoint’s net assets (including goodwill) 250 million Required: 1. Determine the amount of the impairment loss. 2. Repeat requirement 1 assuming that the fair value of Centerpoint is $270 million.

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A:

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Q: amount should be reported as goodwill

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A: Impairment of  goodwill  When the carrying value of goodwill on financial statements exceeds its…

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A: Goodwill: Goodwill is an intangible asset. Goodwill is a reputation of a business which cannot be…

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A: An impairment loss shall be when the carrying amount of the asset exceeds its recoverable amount…

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A: Goodwill: Goodwill is an intangible asset. It is defined as the excess of cost of an acquired…

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A: Loss on impairment = Carrying value of goodwill - Fair value of goodwill

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A: An Acquisition is a situation where one company purchases or acquires all or most of the stake of…

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A: Intangible assets include: Goodwill  Patent Copyright Trademark

Q: . How much goodwill will Elf Hotels record on the acquisition?

A:

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Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.