Suppose the cash paid by firm A to acquire firm B is $40 million, the fair value of assets and liabilities acquired is $20 and $8 million respectively. Calculate the goodwill or bargain purchase from the merger. Show step by step calculations and formulas used in your estimation and justify your answer.

Answer rating: 100% (QA)

To compute the generosity or deal buy from the consolidation we want to look at the sum paid by firm ... View the full answer