Regular Corp

question 106

Multiple Choice

Regular Corp.has four divisions.One of them,Zolo Products,was acquired on January 1,2016,for $400,000,000,and recorded goodwill of $50,750,000 as a result of that purchase.At December 31,2016,Zolo Products had a recoverable amount of $375,000,000.The carrying value of the company's net assets at December 31,2016 was $355,000,000 (including goodwill) .What amount of loss on impairment of goodwill should Regular record in 2016?

• A)$45,000,000
• B)$25,000,000
• C)$20,000,000
• D)-0-

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Definitions:

Nonreplicable

Characteristic of a study or finding that cannot be consistently reproduced or achieved in subsequent tests or experiments.

Operational Definition

A clear, precise, and measurable definition of a variable or concept under investigation, ensuring that it can be empirically tested.

Measure

An action taken to quantitatively assess or determine the extent, dimensions, quantity, or capacity of something.

Synonyms

Words that have the same or nearly the same meaning as another word in the same language.