Parsons Company Acquired 90% of Roxy Company Several Years Ago

question 75

Multiple Choice

Parsons Company acquired 90% of Roxy Company several years ago for which the consideration transferred included an amount paid for goodwill of $200,000 at that date. During 2020 an analysis of the fair value of Roxy's assets determined an impairment of goodwill in the amount of $50,000.At what amount would consolidated goodwill be reported for 2020?

• A) $150,000.
• B) $200,000.
• C) $50,000.
• D) $0.
• E) $135,000.

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