Solved

General Mills, a U At the End of 2020, General Mills Determines That It

Question 112

Essay

General Mills, a U.S. company, reports $6,700 million in goodwill, allocated to the following reporting units (in millions):
 U.S. Retail $5,000 International 150 Bakeries and Food Service 1,550 Total $6,700\begin{array}{lr}\text { U.S. Retail } & \$ 5,000 \\\text { International } & 150 \\\text { Bakeries and Food Service } & 1,550 \\\text { Total } & \underline{\$ 6,700}\end{array}

At the end of 2020, General Mills determines that it is more likely than not that goodwill is impaired for all three reporting units. It collects the following information (in millions):
 Reporting unit  Fair Value  Book Value  U.S. Retail $45,000$46,000 International 3,0003,125 Bakeries and Food Service 10,0009,500\begin{array}{|l|r|c|}\hline \text { Reporting unit } & \text { Fair Value } & \text { Book Value } \\\hline \text { U.S. Retail } & \$ 45,000 & \$ 46,000 \\\hline \text { International } & 3,000 & 3,125 \\\hline \text { Bakeries and Food Service } & 10,000 & 9,500 \\\hline\end{array}
Required
Calculate the total goodwill impairment loss for 2020, following U.S. GAAP.

Correct Answer:

verifed

Verified

Answer : (in millions)
\[\begin{array} ...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents