Window fixed, but what about the wall??

So Jeff, from the window company, came to replace the broken bit of trim. When I moved some stuff so he could get at the window, I noticed a slight crack in the paint at the corner of the window. This is likely from when the window was leaking water onto the window sill, and some ran down and softened the drywall joint.

This is a closeup of the problem area.

The first thing I did was remove the loosened paint and any loose bits of drywall plaster, and then brushed it down well to remove all dust and other particles.

Then I added a bit of drywall compound. I will have to sand it tomorrow. Hopefully the one coat will be sufficient.