Middle Telecom provides communication services in Iowa, Nebraska, the Dakotas, and Montana. Middle purchased goodwill as part
Question:
Book value of assets......$ 750,000
Market value of assets....... 900,000
Market value of liabilities ..... 550,000
Requirements
1. Journalize the entry to record Middle’s purchase of Shipley Wireless for $400,000 cash plus a $600,000 note payable.
2. What special asset does Middle’s acquisition of Shipley Wireless identify? Flow should Middle Telecom account for this asset after acquiring Shipley Wireless? Explain in detail. Goodwill
Goodwill is an important concept and terminology in accounting which means good reputation. The word goodwill is used at various places in accounting but it is recognized only at the time of a business combination. There are generally two types of...
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Requirement 1 Purchase price to acquire Shipley Wireless 400000 600000 ...View the full answer
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Asim farooq
I have done MS finance and expertise in the field of Accounting, finance, cost accounting, security analysis and portfolio management and management, MS office is at my fingertips, I want my client to take advantage of my practical knowledge. I have been mentoring my client on a freelancer website from last two years, Currently I am working in Telecom company as a financial analyst and before that working as an accountant with Pepsi for one year. I also join a nonprofit organization as a finance assistant to my job duties are making payment to client after tax calculation, I have started my professional career from teaching I was teaching to a master's level student for two years in the evening.
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Related Book For 
Horngrens Financial and Managerial Accounting
ISBN: 978-0133866292
5th edition
Authors: Tracie L. Nobles, Brenda L. Mattison, Ella Mae Matsumura
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