Allen Company bought Doubtfire Division in 2024 and recorded…
Allen Company bought Doubtfire Division in 2024 and recorded $750,000 of goodwill related to the purchase. On December 31, 2025, the fair value of Doubtfire Division is $6,000,000 and it is carried on Allen Company’s books for a total of $5,100,000, including the goodwill. What goodwill impairment loss should be recognized by Allen Company in 2025? Enter 0 if Goodwill is not impaired.