Tumbleweed36

Take a box cutter knife and cut out that spot going down in approximately 1/4 inch deep. Dig all that out with a putty knife so you have a nice hole that does not have ragged edges (use a razor blade if needed to cut off ragged places).

Then take some spackling compound and fill that hole up some and put some drywall tape (the kind with adhesive on the back like a nylon mesh is best for a repair like that) from the wall that is not damaged over and covering the hole and continue to apply spackling over the tape and the hole. Let that dry before you do anything else.

Then, when that is dry, sand lightly, then put a smooth coat of spackling over the tape and hole and feathering it out to the wall leaving it just slightly higher than the surrounding wall area. When that is dry, then sand lightly feathering in from the wall until it is smooth and you most likely won't see where it was before.

Been there and done that many times.

Addendum: Your best friend is either a large (very wide) putty knife or a drywall applicator that looks like a putty knife but is much wider. I would suggest one about 4 or 5 inches wide for a smooth job.