AsSyme that A Company acquires all of the net assets of B Company for $210,000 when...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
AsSyme that A Company acquires all of the net assets of B Company for $210,000 when the fair value of B's net identifiable assets is $180,000 and the book values of B's net assets is $160,000. a. How much is the total differential? (5 points) b. How much is the goodwill? (5 points) AsSyme that A Company acquires all of the net assets of B Company for $210,000 when the fair value of B's net identifiable assets is $180,000 and the book values of B's net assets is $160,000. a. How much is the total differential? (5 points) b. How much is the goodwill? (5 points)
Expert Answer:
Answer rating: 100% (QA)
Introduction The goodwill is generated when consideration amount paid is more than the value o... View the full answer
Related Book For
Advanced Accounting
ISBN: 978-1934319307
2nd edition
Authors: Susan S. Hamlen, Ronald J. Huefner, James A. Largay III
Posted Date:
Students also viewed these accounting questions
-
A parent company acquires all of a subsidiary's voting stock at the beginning of 2015. At the date of acquisition, the subsidiary's equipment had a book value of $40 million and a fair value of $25...
-
Purity Company acquired all of the net assets of Soltice Company on November 1, 20x1. As a result Soltice became a 100% percent owned subsidiary of Purity. After allocating the cost of the net...
-
Cost Potluck Corp. acquired all of the net assets of Sauers Corp. on June 30, 2013, in an acquisition reported as a statutory merger. The fair values of Sauers Corp.'s identifiable net assets at the...
-
If a check correctly written and paid by the bank for $ 648 is incorrectly recorded on the company's books for $ 684 , the appropriate treatment on the bank reconciliation would be to THE ANSWER IS...
-
The 2010 CAFR for the City of Detroit indicates that in the fall of 2009, Moodys Investors Service downgraded the general obligation debt rating from Ba2 to Ba3. Information from the MD&A of the 2010...
-
How would you ensure that you keep a trainee's interest during training?
-
Derive the equation that is equivalent to Eqs. (15-32b) and (15-32c) in terms of a partial pressure driving force and a \(\log\) mean partial pressure difference: \[ \begin{equation*}...
-
Lopez Corporation has collected the following information after its first year of sales. Net sales were $1,600,000 on 100,000 units; selling expenses $240,000 (40% variable and 60% fixed); direct...
-
Alhaji Abubakar is a wealthy customer of your branch who is currently away on a "Hajj Trip" to Saudi Arabia. The branch receives a telephone call from a stranger who says he is Mr. Kwame Bobo, who...
-
Consider the following string of page references 7, 0, 1, 2, 0, 3, 0, 4, 2, 3, 0, 3, 2. Complete a figure similar to Figure 8.14, showing the frame allocation for: a. FIFO (first-in-first-out) b. LRU...
-
7. Like all polyfunctional organic compounds, the carbohydrates are water soluble (unless very large) and ether insoluble. Thus, they are easily distinguished from lipids, for example, which are...
-
2. What different kinds of surfaces can be produced by turning versus facing? 4. What is the basic difference between facing and cutoff operation? 8. Why is the spindle of the lathe hollow? 8. Why...
-
A brainstorming session is a fantastic way to get ideas down on paper. In this kind of creative thinking, no answer is wrong. It is just a possibility. Brainstorming with peers is a fun way to get...
-
B) what is her optimal choice and why? Close Window Moving to another question will save this response. Question 4 Question 4 of 5 20 points Save Answer An individual wants to have 1,000,000 AED in...
-
How do the race and ethnicity definitions in Strachan and Piper compare and contrast? Identify which of the multimedia sources you reviewed this week. How do the authors of the multimedia sources you...
-
1 Solve: 2-x=x+25
-
The Game of Battleship Your task is to develop a C program that plays a game of Battleship. The game is intended to be played between one player and the computer. Basic Rules for the Game: The game...
-
Saccharin is an artificial sweetener that is used in diet beverages. In order for it to be metabolized by the body, it must pass into cells. Below are shown the two forms of saccharin. Saccharin has...
-
Pluto Company acquires all of the shares of Saturn Company's stock on January 1, 2013. At December 31, 2012, selected account balances of Saturn follow: Common stock, par value $2$ (200,000)...
-
Loring Company owns a subsidiary in Switzerland. The subsidiary was acquired on January 1,2013. Subsidiary trial balances for January 1 and December 31,2013, in Swiss francs (CHF) appear below....
-
The Plank Company surrenders $5,000,000 cash plus 250,000 shares of 2 its own $l par value stock worth $10,000,000 for Stud Company, in a statutory merger. Management of Plank also makes the...
-
A pipeline containing ammonia gas is vented to ambient air via a \(20-\mathrm{m}\) long, \(3-\mathrm{mm}\) diameter tube. What is the mass flow ( \(\mathrm{g} /\) day) of ammonia into the atmosphere?...
-
We have steady-state diffusion of ammonia in air across a \(0.033 \mathrm{~mm}\) thick film. On one side of the film ammonia concentration is \(0.000180 \mathrm{kmol} / \mathrm{m}^{3}\), and on the...
-
Determine the modified Sherwood number \(\mathrm{Sh}_{\text {gas,partial_pressure }}=\frac{\mathrm{k}_{\mathrm{p}} \mathrm{d}_{\text {tube }}\left(\mathrm{p}_{\mathrm{B}}...
Study smarter with the SolutionInn App