(Solved): 82. What level are goodwill impairment tests done at? a. Combined entity level b.b. Transaction leve ...

a. Combined entity level b.
b. Transaction level

c. Consolidated level
d. Reporting unit level

e. Goodwill is amortized, so it does not undergo impairment testing

83. Which of the following about C* is true?

a. It is done every ycar, including year 1 of the consolidation entries.

b. It is only done if the parent company uses the equity method.
c. The JE involves the subsidiary's retained earnings and investment account of the parent.

d. ???It is only done in year 2 and forward.

e. ???It is necessary to help adjust the company's goodwill on the acquisition.

84. Which of the following is true about the consolidation methods?

1. ???Consolidation entries are done so that the parent's investment account is brought to zero so that the actual assets and liabilities of the subsidiary can be consolidated.
2. ???Equity method will report the highest consolidated total assets on the consolidated balance sheet.
3. ???Initial value will report the lowest consolidated total assets on the consolidated balance sheet.
4. ???Consolidation entry S is only done under the partial equity method.