If the carrying value of goodwill is more than its fair value,an impairment loss must be recorded.

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According to accounting standards, if the carrying value of goodwill is more than its fair value, an impairment loss must be recognized and recorded in the financial statements. In other words, goodwill must be written down to its fair value, and any excess of the carrying value over the fair value is recognized as an impairment loss. This is required to ensure that the financial statements reflect the true value of the assets and liabilities, and avoid overvaluing the goodwill.

If the Carrying Value of Goodwill Is More Than Its