Carla Vista Holdings Ltd. purchased the net assets of Future Ltd. in January 2024 for $9,769,000....

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Carla Vista Holdings Ltd. purchased the net assets of Future Ltd. in January 2024 for $9,769,000. Carla Vista had appraisals conducted that indicated that the fair values of the assets purchased and liabilities assumed were as follows: Inventory Accounts receivable Machinery (a) $1,487,000 927,000 3,703,000 Patents Accounts payable Loan payable Goodwill $ $748,000 894,000 The patent acquired has 16 years remaining in its useful life. Carla Vista's management determined that it would contribute to the generation of revenues for 8 years, after which it would be obsolete. 824,000 Determine the amount of goodwill Carla Vista Holdings Ltd. acquired in the purchase. Carla Vista Holdings Ltd. purchased the net assets of Future Ltd. in January 2024 for $9,769,000. Carla Vista had appraisals conducted that indicated that the fair values of the assets purchased and liabilities assumed were as follows: Inventory Accounts receivable Machinery (a) $1,487,000 927,000 3,703,000 Patents Accounts payable Loan payable Goodwill $ $748,000 894,000 The patent acquired has 16 years remaining in its useful life. Carla Vista's management determined that it would contribute to the generation of revenues for 8 years, after which it would be obsolete. 824,000 Determine the amount of goodwill Carla Vista Holdings Ltd. acquired in the purchase.

Answer rating: 100% (QA)

Amount of goodwill purchase consideration net fair value of purchas... View the full answer