A. Research the FASB Accounting Standards Codification Topic 350 (ASC 350) standards for goodwill impairment using the “FASB Accounting Standards Codification Database” web link, then summarize the relevant ASC 350 standards and components (including topic, subtopic(s), section(s), and subsection(s)) to do the following:
1. Describe the treatment for when a company has similar economic characteristics.
2. Describe the treatment for when a company does not have similar economic characteristics.
3. Describe the treatment for a public company.
4. Describe the treatment for a private company.
5. Describe the treatment for when a company elects the accounting alternative.
6. Describe the treatment for when a company does not elect the accounting alternative.
7. Describe the treatment for when a company has a triggering event occur.
8. Describe the treatment for when a company does not have a triggering event occur.
B. Using the scenario, the attached “Goodwill Impairment Data,” and the research completed for part A, determine the best approach for AMMRC Inc.’s treatment of goodwill impairment while justifying your decision on each of the following decision points:
• whether the company has similar economic characteristics
• whether the company is public or private
• whether the company elects the accounting alternative
• whether the company has a triggering event occur
1. Determine the goodwill impairment loss, if required, for TL and DJ corporations based on the information provided in the attached “Goodwill Impairment Data” and appropriate authoritative guidance (ASC 350). If goodwill impairment loss is not required, explain why.
C. Acknowledge sources, using APA-formatted in-text citations and references, for content that is quoted, paraphrased, or summarized.
