One year after acquisition date, acquired goodwill was regarded as having become impaired by $10 000. The appropriate consolidation adjustment in relation to the impairment will include the following line:

A) DR Goodwill $10 000
B) CR Impairment loss $10 000
C) CR Accumulated impairment losses $10 000
D) CR Business combination valuation reserve $10 000

Acquired Goodwill

The excess of the purchase price over the fair value of the net assets acquired in a business combination, reflecting intangible assets like brand reputation, customer relationships, etc.

Impairment

A reduction in the recoverable amount of a fixed asset or goodwill below its carrying amount, leading to an adjustment in the value of the asset on the balance sheet.