While Performing a Goodwill Impairment Test, the Company Had the Following

Multiple Choice

While performing a goodwill impairment test, the company had the following information:
$\begin{array}{llr} \text {Estimated implied fair value of reporting unit } &\$420,000\\ \text {Fair value of net assets on date of measurement (without goodwill) } &\$ 400,000 \\ \text { Existing net book value of reporting unit (without goodwill) } & \$ 380,000\\ \text { Book value of goodwill} & \$ 60,000\\\end{array}$

Based upon this information the proper conclusion is:

A) The company should recognize a goodwill impairment loss of $20,000.
B) Goodwill is not impaired.
C) The company should recognize a goodwill impairment loss of $40,000.
D) The company should recognize a goodwill impairment loss of $60,000.