I really need help please 18. Alomar Co., a consolidated enterprise, conducted a

Question

I really need help please

18. Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting units. In its qualitative assessment, one particular reporting unit, Sellers, emerged as a candidate for possible goodwill impairment. Sellers has recognized net assets of $1,094, including goodwill of $755. Seller's fair value is assessed at $1,028 and includes two internally developed unrecognized intangible assets (a patent and a customer list with fair values of S199 and S56, respectively). The following table summarizes current financial information for the Sellers reporting unit: Carrying Amounts S 84 Fair Values S 137 326 Tangible assets, net Recognized intangible assets, net Goodwill Unrecognized intangible assets 255 755 255 Total $1.094 a. Determine the amount of any goodwill impairment for Alomar's Sellers reporting unit. b. After recognition of any goodwill impairment loss, what are the reported book values for the following assets of Alomar's reporting unit Sellers? Tangible assets, net. Goodwill. . Patent .Customer list.

Explanation / Answer

a. Goodwill impairment Step 1. Fair value of Goodwill Total Fair values $1,028 Less: Fair value of Tangible assets, net $137 Fair value of recognized intangible assets, net $326 Fair value of unrecognized intangible assets, net $255 Fair value of Goodwill $310 Step 2. Goodwill Impairment Goodwill impairment = Carrying value of Goodwill - Fair value of Goodwill                                              = $755 - $310                                              = $445 b. The reported book values for the following assets of Alomar's reporting unit Sellers. Tangible Assets, net $84 Goodwill $310 Customer list $56 Patent $199

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